South Carolina General Assembly
106th Session, 1985-1986
Journal of the House of Representatives

TUESDAY, MARCH 4, 1986

Tuesday, March 4, 1986
(Statewide Session)

Indicates Matter StrickenIndicates New Matter

The House assembled at 12:00 Noon.

Deliberations were opened with prayer by the Chaplain of the House of Representatives, the Rev. Dr. Alton C. Clark as follows:

Our gracious Heavenly Father Whose wisdom never errs and Whose strength never fails, may we hold to You with an ever-increasing tenacity of faith. Make our lives animated and aglow in the sure knowledge of Your never failing guidance. Enable us to discern Your will more clearly, and give us a more determined desire to walk in Your footsteps. We know not what this day holds in store, but even if we face the quicksands of temptation, mudslides of cynicism, or danger of destiny, steady us in the sure knowledge that "God is our Refuge and Strength".

Thanks, Lord, for being the same yesterday, today and always. Amen.

Pursuant to Rule 6.3, the House of Representatives was led in the Pledge of Allegiance to the Flag of the United States of America by Rep. O. PHILLIPS.

After corrections to the Journal of the proceedings of Friday, the SPEAKER ordered it confirmed.

COMMUNICATION

The following was received.

March 3, 1986
The Honorable Ramon Schwartz
Speaker of The House of Representatives
P.O. Box 11867
Columbia, S.C. 29211

Dear Mr. Speaker:

My family and I are very grateful for your resolution concerning the loss of my mother, Bernice Carey Morris. Your expression of concern means very much to us during this time.
Sincerely,
Earle E. Morris, Jr.

Received as information.

RULES AND REGULATIONS RECEIVED

The following was received.

OFFICE OF THE SPEAKER OF
THE HOUSE OF REPRESENTATIVES

February 27, 1986
The Honorable Lois T. Shealy
Clerk of the South Carolina

House of Representatives (Doc. No. 702)

Dear Mrs. Shealy:

Pursuant to Act 176 of 1977, I have received on February 27, 1986 regulations concerning South Carolina Securities Deposits Required of Insurers from the Department of Insurance.

They are hereby referred to the Committee on Labor, Commerce and Industry for consideration.

Sincerely,
Ramon Schwartz, Jr.

Received as information.

MOTION ADOPTED

Rep. MANGUM moved that the House set H. 3550, the General Appropriation Bill, for Special Order at 3:00 on Monday, March 10, which was agreed to.

SILENT PRAYER

On motion of Rep. HARVIN, with unanimous consent, the House stood in Silent prayer in memory of Mr. Harry Briggs.

MESSAGE FROM THE SENATE

The following was received.
Columbia, S.C., February 27, 1986

Mr. Speaker and Members of the House:

The Senate respectfully informs your Honorable Body that it has confirmed the Governor's appointment of:

Appointment, Master-in-Equity, Aiken County, to fill the unexpired portion of term to expire June 30, 1989:

The Senate respectfully invites your Honorable Body to attend in the Senate Chamber at 12:30 P.M. today for the purpose of Ratifying Acts.

Very respectfully,
President

No. 26

On motion of Rep. BLACKWELL the invitation was accepted.

SENATE AMENDMENTS CONCURRED IN

The Senate returned to the House with amendments the following:

H. 2997 -- Reps. Blanding, White, Washington, D. Martin, Woods, Gilbert, Williams, Foster, Taylor, Mitchell, K. Bailey, McBride and Faber: A CONCURRENT RESOLUTION TO MEMORIALIZE THE PRESIDENT AND THE CONGRESS OF THE UNITED STATES TO TAKE CERTAIN IMMEDIATE ACTIONS IN REGARD TO FOOD PRODUCTION, FARM DEBT, LOANS, AND FORECLOSURES, GOVERNMENT FARM AND TRADE PROGRAMS, ANTI-TRUST PROCEEDINGS AGAINST FOOD CARTELS, CONFLICTS OF INTEREST WITHIN THE UNITED STATES DEPARTMENT OF AGRICULTURE, AND EMERGENCY FOOD RELIEF TO AFRICA AND DEVELOPING NATIONS.

The Senate amendments were concurred in and a message was ordered sent to the Senate accordingly.

SENATE AMENDMENTS CONCURRED
IN AND BILL ENROLLED

The Senate returned to the House with amendments the following:

H. 2222 -- Reps. Washington, Taylor, Holt, Woods, Patterson, Huff, T. Rogers, Toal, Rawl, Beasley, White, Keyserling, McTeer and D. Martin: A BILL TO AMEND CHAPTER 17, TITLE 7, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE CANVASSING AND CERTIFICATION OF VOTE RESULTS BY ADDING ARTICLE 7 SO AS TO PROVIDE FOR THE FILING OR CONTINUATION OF A PROTEST IF A CANDIDATE DIES AFTER THE ELECTION BUT BEFORE THE TIME FOR FILING A PROTEST OR AFTER A PROTEST HAS BEEN TIMELY FILED.

The Senate amendments were agreed to, and the Bill, having received three readings in both Houses, it was ordered that the title be changed to that of an Act, and that it be enrolled for ratification.

CONCURRENT RESOLUTION

The following was introduced:

H. 3576 -- Rep. McKay: A CONCURRENT RESOLUTION TO EXPRESS THE CONDOLENCES OF THE MEMBERS OF THE GENERAL ASSEMBLY TO THE FAMILY AND FRIENDS OF MR. T. CARROL PLAYER, OF FLORENCE COUNTY, WHO DIED ON FEBRUARY 16, 1986.

The Concurrent Resolution was agreed to and ordered sent to the Senate.

CONCURRENT RESOLUTION

On motion of Rep. STODDARD, with unanimous consent, the following was taken up for immediate consideration:

H. 3577 -- Reps. Stoddard, McAbee, Foxworth and D. Martin: A CONCURRENT RESOLUTION TO FIX 12:00 O'CLOCK NOON ON WEDNESDAY, APRIL 16, 1986, AS THE TIME FOR ELECTING MEMBERS OF THE BOARDS OF TRUSTEES FOR THE UNIVERSITY OF SOUTH CAROLINA, CLEMSON UNIVERSITY, MEDICAL UNIVERSITY OF SOUTH CAROLINA, WINTHROP COLLEGE, AND SOUTH CAROLINA STATE COLLEGE AND A MEMBER OF THE BOARD OF VISITORS FOR THE CITADEL TO SUCCEED THOSE MEMBERS WHOSE TERMS EXPIRE JUNE 30, 1986.

Be it resolved by the House of Representatives, the Senate concurring:

That the House of Representatives and the Senate meet in joint assembly in the hall of the House of Representatives at 12:00 o'clock noon on Wednesday, April 16, 1986, for the purpose of electing trustees for the University of South Carolina, Clemson University, Medical University of South Carolina, Winthrop College, and South Carolina State College and for the purpose of electing a member of the Board of Visitors of The Citadel to succeed those members whose terms expire June 30, 1986.

The Concurrent Resolution was agreed to and ordered sent to the Senate.

CONCURRENT RESOLUTION

The following was introduced:

H. 3592 -- Reps. Cleveland, McLellan, L. Martin and Neilson: A CONCURRENT RESOLUTION TO CONGRATULATE SHERRY ANNETTE THRIFT, OF OCONEE COUNTY, ON BEING SELECTED MISS SOUTH CAROLINA AND FIRST RUNNERUP IN THE MISS AMERICA PAGEANT.

The Concurrent Resolution was agreed to and ordered sent to the Senate.

CONCURRENT RESOLUTION

The Senate sent to the House the following:

S. 1091 -- Senator Land: A CONCURRENT RESOLUTION EXPRESSING THE DEEPEST SORROW OF THE MEMBERS OF THE GENERAL ASSEMBLY AT THE DEATH OF MR. HARRY BRIGGS OF SUMMERTON AND EXTENDING HEARTFELT SYMPATHY TO HIS FAMILY AND MANY FRIENDS.

The Concurrent Resolution was agreed to and ordered returned to the Senate with concurrence.

CONCURRENT RESOLUTION

The following was introduced:

H. 3593 -- Rep. Harvin: A CONCURRENT RESOLUTION TO RECOGNIZE AND COMMEND MR. CHARLES P. BALLENGER, JR., FOR HIS DEDICATED PUBLIC SERVICE AND FOR HIS PROMOTION OF THE HIGHWAY CONSTRUCTION INDUSTRY IN SOUTH CAROLINA.

The Concurrent Resolution was agreed to and ordered sent to the Senate.

CONCURRENT RESOLUTION

The Senate sent to the House the following:

S. 1092 -- Senator Garrison: A CONCURRENT RESOLUTION CONGRATULATING MRS. LILLIAN S. WRIGHT OF ANDERSON FOR BEING CHOSEN "1985-86 CAREER WOMAN OF THE YEAR" BY THE SOUTH CAROLINA FEDERATION OF BUSINESS AND PROFESSIONAL WOMEN'S CLUBS.

The Concurrent Resolution was agreed to and ordered returned to the Senate with concurrence.

CONCURRENT RESOLUTION

The following was introduced:

H. 3598 -- Rep. Rhoad: A CONCURRENT RESOLUTION CONGRATULATING SHERIFF ED DARNELL OF BAMBERG COUNTY FOR BEING ELECTED PRESIDENT OF THE SOUTH CAROLINA SHERIFF'S ASSOCIATION.

The Concurrent Resolution was agreed to and ordered sent to the Senate.

INTRODUCTION OF BILLS

The following Bills and Joint Resolutions were introduced, read the first time, and referred to appropriate committees:

H. 3550 -- Ways and Means Committee: A BILL TO MAKE APPROPRIATIONS TO MEET THE ORDINARY EXPENSES OF THE STATE GOVERNMENT FOR THE FISCAL YEAR BEGINNING JULY 1, 1986 AND FOR OTHER PURPOSES; TO REGULATE THE EXPENDITURE OF SUCH FUNDS; TO FURTHER PROVIDE FOR THE OPERATION OF THE STATE GOVERNMENT DURING THE FISCAL YEAR; TO APPROPRIATE FUNDS ALLOTTED TO THE STATE GOVERNMENT UNDER THE PUBLIC WORKS EMPLOYMENT ACT OF 1976 (FEDERAL); TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, SO AS TO PROVIDE THAT COMPENSATION INCREASES AS DEFINED IN THIS SECTION AND AWARDED ON OR BEFORE JUNE 30, 1986, SHALL CONTINUE TO BE PAID TO EMPLOYEES WHO REMAIN COVERED UNDER THE STATE CLASSIFICATION AND COMPENSATION PLAN, AND TO PROHIBIT THE AWARDING OF ADDITIONAL COMPENSATION INCREASES AFTER JUNE 30, 1986; TO AMEND SUBSECTION (3) OF SECTION 16 OF PART II OF ACT 512 OF 1984, RELATING TO THE PHASED-IN EXEMPTION OF BUSINESS INVENTORIES FROM AD VALOREM TAXATION, SO AS TO, EFFECTIVE JULY, 1987, FIX STATE REIMBURSEMENT TO COUNTIES' AND MUNICIPALITIES' REVENUE LOSSES FROM THE EXEMPTION TO THOSE ATTRIBUTABLE TO THE 1986 TAXABLE YEAR AMOUNT, TO LIMIT, EFFECTIVE JULY 1, 1987, TO THE 1986 ASSESSED VALUATION OF BUSINESS INVENTORIES THE AMOUNT OF TAXABLE PROPERTY REPRESENTED BY INVENTORIES FOR PURPOSES OF THE BONDED INDEBTEDNESS LIMIT AND THE INDEX OF TAXPAYING ABILITY PURSUANT TO THE EDUCATION FINANCE ACT, TO AMEND SECTION 12-37-220, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO EXEMPTIONS FROM AD VALOREM TAXATION, SO AS TO EXEMPT BUSINESS INVENTORIES BEGINNING WITH THE 1987 TAXABLE YEAR, AND TO REPEAL, EFFECTIVE JULY 1, 1987, ITEMS (A) AND (C) OF SUBSECTION 3 OF SECTION 16 OF PART II OF ACT 512 OF 1984, RELATING TO THE PHASED-IN EXEMPTION OF BUSINESS INVENTORIES FROM AD VALOREM TAXES AND THE REIMBURSEMENT FORMULA FOR REVENUES LOST DURING THE PHASE-IN PERIOD; TO PROVIDE THAT FOR TAXABLE YEARS BEGINNING AFTER 1985, INDIVIDUAL STATE INCOME TAX BRACKETS SHALL REVERT TO THOSE PROVIDED IN SECTION 12-7-210 OF THE 1976 CODE WITHOUT REGARD TO ANY INFLATION ADJUSTMENT, AND TO REPEAL SECTION 23, PART II, OF ACT 517 OF 1980 AND SUBSECTION B OF SECTION 8, PART II, OF ACT 201 OF 1985, BOTH RELATING TO ANNUAL INFLATION ADJUSTMENTS; TO AMEND ACT 194 OF 1979, RELATING TO STATE CAPITAL IMPROVEMENT BONDS, SO AS TO PROVIDE THAT THE BOARD OF TRUSTEES OF WINTHROP COLLEGE MAY PROVIDE A WRITTEN POLICY FOR PAID ADMISSIONS TO ATHLETIC FACILITIES IF IT DOES NOT IMPAIR THE COLLEGE'S ANNUAL DEBT SERVICE OBLIGATION; TO AMEND SECTION 59-24-110 OF THE 1976 CODE RELATING TO THE SCHOOL PRINCIPAL INCENTIVE PROGRAM SO AS TO PROVIDE THAT FUNDS FOR THIS PROGRAM MUST BE DISTRIBUTED TO THE SCHOOL DISTRICTS ON A PER PRINCIPAL BASIS INSTEAD OF A PER PUPIL BASIS AND TO PROVIDE THAT SCHOOL PRINCIPAL INCENTIVE AWARDS MUST BE CAPPED AT FIVE THOUSAND DOLLARS PER PRINCIPAL; TO AMEND SECTION 1-11-75 OF THE 1976 CODE RELATING TO FEES CHARGED BY THE STATE BUDGET AND CONTROL BOARD TO APPLICANTS FOR PERMITS FOR CONSTRUCTION, DREDGING OR OTHER ACTIVITY IN NAVIGABLE WATERS OF THIS STATE SO AS TO INCREASE THESE FEES; TO AMEND ACT 145 OF 1983 RELATING TO THE SOUTH CAROLINA JOBS-ECONOMIC DEVELOPMENT AUTHORITY SO AS TO PROVIDE THAT THE PROGRAM FUNDS OF THE AUTHORITY MUST BE INVESTED BY THE STATE TREASURER IN THE MANNER PROVIDED BY LAW; TO AMEND SECTIONS 40-13-10, 40-13-20, 40-13-90, 40-13-100, 40-13-110, 40-13-120 AND 40-13-280 OF THE 1976 CODE, AS AMENDED, RELATING TO COSMETOLOGY AND COSMETOLOGISTS SO AS TO PROVIDE THAT MANICURISTS AND ESTHETICIANS ARE NO LONGER REQUIRED TO BE LICENSED BY THE STATE BOARD OF COSMETOLOGISTS AND TO PROVIDE THAT NO FEES HERETOFORE PAID TO THE STATE BOARD OF COSMETOLOGY BY ANY PERSON FOR A MANICURIST'S OR ESTHETICIAN'S LICENSE ARE REFUNDABLE.

Without reference.

H. 3578 -- Reps. J. Anderson and S. Anderson: A BILL TO PROVIDE THAT STROM THURMOND HIGH SCHOOL IN EDGEFIELD COUNTY SHALL HEREAFTER REMAIN SO NAMED AS TRIBUTE TO ONE OF SOUTH CAROLINA'S MOST DISTINGUISHED SONS, U.S. SENATOR STROM THURMOND.

Without reference.

H. 3579 -- Reps. Altman and S. Anderson: A BILL TO AMEND ACT 1580 OF 1972, RELATING TO PENSIONS FOR MEMBERS OF THE NATIONAL GUARD, SO AS TO MAKE ELIGIBLE FOR THE PENSION MEMBERS OTHERWISE ELIGIBLE SERVING AFTER JUNE 30, 1970, AND TO MAKE BENEFITS NONRETROACTIVE TO PERSONS MADE ELIGIBLE BY THIS ACT.

Referred to Committee on Ways and Means.

H. 3580 -- Rep. Wilkins: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 16-11-555, SO AS TO MAKE A FELONY THE KNOWING DELIVERY OR PLACING OF A DEVICE WITH THE INTENT TO TERRORIZE, FRIGHTEN, INTIMIDATE, THREATEN, HARASS, MOLEST, OR ANNOY ANY OTHER PERSON, WHEN THE DEVICE IS SO CONSTRUCTED AS TO REPRESENT, OR IS PRESENTED AS, AN EXPLOSIVE, AN INCENDIARY, OR A BOMB; AND TO AMEND SECTION 16-1-10, AS AMENDED, RELATING TO CRIMES CLASSIFIED AS FELONIES, SO AS TO INCLUDE THE CRIME CONTAINED IN SECTION 16-11-555.

Referred to Committee on Judiciary.

H. 3581 -- Reps. Harvin, Faber, Gordon, Mitchell, Gilbert, Nettles, Shelton, Moss, Lake, Chamblee, Griffin, R. Brown, Foxworth, Elliott, Mattos and McEachin: A BILL TO AMEND SECTION 59-111-110, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO FREE TUITION FOR CHILDREN OF CERTAIN PUBLIC EMPLOYEES WHO BECOME TOTALLY DISABLED OR ARE KILLED IN THE LINE OF DUTY, SO AS TO INCLUDE THE CHILDREN OF ASTRONAUTS WHO ARE LEGAL RESIDENTS OF THIS STATE.

Referred to Committee on Ways and Means.

H. 3582 -- Reps. Harvin, Gordon, Rhoad, Huff, Thrailkill, P. Bradley and Shelton: A BILL TO REGULATE INTERPRETERS FOR THE DEAF OR HEARING IMPAIRED, TO CREATE A STATE BOARD OF INTERPRETERS FOR THE DEAF OR HEARING IMPAIRED, AND TO PROVIDE PENALTIES.

Referred to Committee on Medical, Military, Public and Municipal Affairs.

H. 3583 -- Rep. Kohn: A JOINT RESOLUTION PROPOSING AN AMENDMENT TO SECTION 1, ARTICLE VIII-A OF THE CONSTITUTION OF SOUTH CAROLINA, 1895, RELATING TO THE POWERS OF THE GENERAL ASSEMBLY IN REGARD TO ALCOHOLIC LIQUORS AND BEVERAGES SO AS TO PROVIDE THAT THE GOVERNING BODY OF A COUNTY OR MUNICIPALITY WHEREIN A BUSINESS OR NONPROFIT ORGANIZATION LICENSED TO SELL ALCOHOLIC LIQUORS AND BEVERAGES IN SEALED CONTAINERS OF TWO OUNCES OR LESS IS LOCATED MAY ALSO REGULATE THE HOURS OF OPERATION OF THESE BUSINESSES OR ORGANIZATIONS.

Referred to Committee on Judiciary.

H. 3584 -- Rep. Kohn: A BILL TO AMEND ARTICLE 3, CHAPTER 9 OF TITLE 61, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO BEER, ALE, PORTER, AND WINE PERMITS BY ADDING SECTION 61-9-475 SO AS TO PROVIDE THAT RESTRICTIONS WHICH PROHIBIT THE LOCATION OF ESTABLISHMENTS SELLING ALCOHOLIC LIQUOR OR BEVERAGES WITHIN CERTAIN DISTANCES OF CHURCHES, SCHOOLS, AND PLAYGROUNDS ALSO APPLY TO ESTABLISHMENTS SELLING BEER, ALE, PORTER, OR WINE FOR ON-PREMISES CONSUMPTION, AND TO PROVIDE EXCEPTIONS.

Referred to Committee on Judiciary.

H. 3585 -- Rep. Kohn: A BILL TO AMEND ARTICLE 3, CHAPTER 9 OF TITLE 61, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO BEER, ALE, PORTER, AND WINE PERMITS BY ADDING SECTION 61-9-465 SO AS TO PROVIDE THAT NO PERMIT MAY BE ISSUED IF THE PLACE OF BUSINESS OF THE PERMITTEE IS WITHIN FIVE HUNDRED FEET OF ANY RESIDENCE AND TO PROVIDE EXCEPTIONS.

Referred to Committee on Judiciary.

H. 3586 -- Reps. Freeman, Edwards, Brett and D. Martin: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 8-13-635 SO AS TO REQUIRE CAMPAIGN ADVERTISING TO IDENTIFY THE SOURCE OF PAYMENT FOR THE ADVERTISING.

Referred to Committee on Judiciary.

H. 3587 -- Rep. Freeman: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 7-5-125 SO AS TO PERMIT A STUDENT ENROLLED IN A POST-SECONDARY INSTITUTION IN THIS STATE TO CONSIDER HIMSELF A RESIDENT WHO IS DOMICILED IN THE COUNTY IN WHICH HE PHYSICALLY RESIDES WHILE ATTENDING SCHOOL FOR PURPOSES OF REGISTERING TO VOTE IF HE SIGNS AN AFFIDAVIT PRESCRIBED BY THE STATE ELECTION COMMISSION TO THAT EFFECT.

Referred to Committee on Judiciary.

H. 3588 -- Reps. Dangerfield, Aydlette, Winstead, J. Bradley, Carnell, Holt, Rawl, Washington, Foxworth, Stoddard, Simpson, Hearn, Toal, D. Martin, M.D. Burriss, Hawkins, P. Harris, W. Arthur, Barfield and Snow: A BILL TO AMEND SECTION 57-5-570, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE REQUIREMENT THAT RECORDS OF HIGHWAY RIGHTS-OF-WAY FOR EACH ROAD IN A COUNTY BE MAINTAINED IN THE OFFICE OF THE CLERK OF COURT OF THAT COUNTY, SO AS TO PROVIDE THAT THESE RECORDS MUST NOW BE MAINTAINED IN THE OFFICE OF THE TAX ASSESSOR FOR THAT COUNTY.

Referred to Committee on Education and Public Works.

H. 3589 -- Rep. Blackwell: A BILL TO AMEND SECTION 26-1-20, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO REQUIRED ENDORSEMENTS ON NOTARY PUBLIC APPLICATIONS SO AS TO REVISE THE PERSONS WHO ARE REQUIRED TO MAKE THESE ENDORSEMENTS.

Rep. BLACKWELL asked unanimous consent to have the Bill placed on the calendar without reference. Rep. KLAPMAN objected.

Referred to Committee on Judiciary.

H. 3590 -- Rep. W. Arthur: A BILL TO AMEND SECTION 38-51-20, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO INSURANCE AGENTS, SO AS TO PERMIT A QUALIFIED LIFE OR HEALTH INSURANCE AGENT TO PRESENT A PROPOSAL FOR INSURANCE ON BEHALF OF AN INSURER FOR WHICH THE AGENT IS NOT SPECIFICALLY LICENSED.

Referred to Committee on Labor, Commerce and Industry.

H. 3591 -- Rep. Lloyd Hendricks: A BILL TO AUTHORIZE THE SECRETARY OF STATE TO RESTORE THE CHARTER OF MEARES BUILDERS, INC.

Without reference.

S. 884 -- Senators J. Verne Smith, Horace C. Smith, McLeod, Leatherman, N. Smith, Theodore and Saleeby: A BILL TO AMEND CHAPTER 7 OF TITLE 20, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE CHILDRENS CODE, BY ADDING ARTICLE 21 SO AS TO ESTABLISH THE STATE COUNCIL ON MATERNAL, INFANT, AND CHILD HEALTH; TO PROVIDE FOR THE PURPOSES OF THE ARTICLE AND THE COUNCIL; TO PROVIDE FOR COUNCIL MEMBERSHIP, THE CHAIRMAN, TERMS, VACANCIES, AND COMPENSATION; TO PROVIDE FOR THE FUNCTIONS OF THE COUNCIL; AND TO PROVIDE FOR HOUSING, FUNDING, AND STAFFING OF THE COUNCIL.

Referred to Committee on Medical, Military, Public and Municipal Affairs.

S. 971 -- Senators Holland, E. Patterson, Matthews and Wilson: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 7-13-771 SO AS TO PROVIDE A PROCEDURE BY WHICH ELECTORS WHO, BECAUSE OF PHYSICAL HANDICAP OR AGE, MAY VOTE OUTSIDE OF THE POLLING PLACE, AND TO AMEND SECTION 7-15-120, AS AMENDED, RELATING TO THE FORMS REQUIRED FOR ABSENTEE VOTER REGISTRATION, SO AS TO AUTHORIZE A PERSON APPLYING UNDER THE PHYSICALLY DISABLED DUE TO ILLNESS OR INJURY CATEGORY TO BE REGISTERED PERMANENTLY IF HE PRESENTS A WRITTEN STATEMENT OF THE DISABILITY BY HIS DOCTOR TO HIS COUNTY BOARD OF REGISTRATION.

Referred to Committee on Judiciary.

S. 1016 -- Senators Peeler and Lee: A BILL TO AMEND SECTION 12-35-320, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE RETAIL BUSINESS LICENSE, SO AS TO EXEMPT FROM THE LICENSE REQUIREMENT ORGANIZATIONS CONDUCTING CONCESSION SALES EXEMPT FROM SALES TAX AT FESTIVALS, AND TO AMEND SECTION 12-35-550, AS AMENDED, RELATING TO SALES TAX EXEMPTIONS, SO AS TO EXEMPT CONCESSION SALES AT FESTIVALS RECOGNIZED BY THE SOUTH CAROLINA DEPARTMENT OF PARKS, RECREATION AND TOURISM BY ORGANIZATIONS DEVOTED EXCLUSIVELY TO PUBLIC OR CHARITABLE PURPOSES IF THE ENTIRE NET PROCEEDS ARE USED FOR THOSE PURPOSES.

Rep. MOSS asked unanimous consent to have the Bill placed on the calendar without reference. Rep. KLAPMAN objected.

Referred to Committee on Ways and Means.

S. 1044 -- Fish, Game and Forestry Committee: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 50-21-148 SO AS TO PROHIBIT THE OBSTRUCTION OF WHARFS, DOCKS, PIERS, BOAT RAMPS, AND ACCESS TO THEM; TO PROVIDE FOR THE REMOVAL OF VEHICLES, VESSELS, OR OTHER OBSTRUCTING OBJECTS; TO PROVIDE FOR THE ERECTION OF SIGNS ADVERTISING THE PROHIBITION; AND TO PROVIDE PENALTIES.

Referred to Committee on Agriculture and Natural Resources.

S. 1047 -- Fish, Game and Forestry Committee: A BILL TO AMEND ACT 176 OF 1977, AS AMENDED, THE ADMINISTRATIVE PROCEDURES ACT, SO AS TO PROVIDE THAT NATURAL RESOURCES RELATED AGENCIES MAY PROMULGATE EMERGENCY REGULATIONS TO PROTECT OR MANAGE NATURAL RESOURCES.

Referred to Committee on Agriculture and Natural Resources.

S. 1048 -- Fish, Game and Forestry Committee: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 50-13-2020 SO AS TO PROVIDE FOR THE MANAGEMENT OF LAKES AND PONDS OWNED BY THE SOUTH CAROLINA WILDLIFE AND MARINE RESOURCES DEPARTMENT AND TO PROVIDE PENALTIES.

Referred to Committee on Agriculture and Natural Resources.

S. 1073 -- Fish, Game and Forestry Committee: A BILL TO AMEND SECTION 50-17-1022, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE USE OF GILL NETS IN THE ATLANTIC OCEAN, SO AS TO REGULATE THEIR USE DURING THE OPEN SEASON FOR THE TAKING OF AMERICAN SHAD, TO INCREASE THE SIZE OF BUOYS USED TO MARK THEIR LOCATIONS FROM TEN INCHES IN DIAMETER TO TWENTY INCHES IN DIAMETER, AND TO ELIMINATE A PROVISION MAKING POSSESSION OF FRESHLY CAUGHT SHAD DURING THE CLOSED SEASON PRIMA FACIE EVIDENCE OF A VIOLATION.

Referred to Committee on Agriculture and Natural Resources.

S. 1074 -- Fish, Game and Forestry Committee: A BILL TO AMEND SECTION 50-17-2190, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO ATLANTIC STURGEON, SO AS TO PROVIDE THAT THE DIVISION OF MARINE RESOURCES MAY ESTABLISH MINIMUM OR MAXIMUM SIZE LIMITS ON STURGEON INSTEAD OF MAXIMUM SIZE LIMITS ONLY AND TO PROVIDE THAT ANY SIZE STURGEON TAKEN DURING CLOSED SEASONS OR IN CLOSED AREAS MUST BE IMMEDIATELY RETURNED TO THE WATER.

Referred to Committee on Agriculture and Natural Resources.

S. 1075 -- Fish, Game and Forestry Committee: A BILL TO AMEND SECTION 50-17-55, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO CLOSED SEASONS AND SIZE LIMITS ON NUMEROUS SALTWATER FISH AND SHELLFISH SPECIES, SO AS TO ADD SIZE LIMITS ON SPOTTED SEA TROUT AND RED DRUM, AND TO IMPOSE A POSSESSION LIMIT ON RED DRUM.

Referred to Committee on Agriculture and Natural Resources.

S. 1076 -- Fish, Game and Forestry Committee: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 50-17-855 SO AS TO REGULATE ACTIVITIES RELATING TO HARD CLAMS OF THE GENUS "MERCENARIA".

Referred to Committee on Agriculture and Natural Resources.

S. 1077 -- Fish, Game and Forestry Committee: A JOINT RESOLUTION TO PROVIDE FOR THE CLOSURE OF CALIBOGUE, PORT ROYAL, AND ST. HELENA SOUNDS TO TRAWLING FOR THE YEARS 1986 AND 1987 AND TO PROVIDE FOR REVIEW OF THE CLOSURE BY THE GENERAL ASSEMBLY DURING THE 1988 SESSION OF THE GENERAL ASSEMBLY.

Referred to Committee on Agriculture and Natural Resources.

S. 1078 -- Fish, Game and Forestry Committee: A BILL TO AMEND SECTION 50-13-1170, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO TAKING OF NONGAME FISH BY GILL NETS, SO AS TO REQUIRE STURGEON CAUGHT IN LICENSED SHAD NETS TO BE RETURNED TO THE WATER.

Referred to Committee on Agriculture and Natural Resources.

S. 1082 -- Senator Pope: A BILL TO AMEND SECTION 12-37-220, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO AD VALOREM PROPERTY TAX EXEMPTIONS, SO AS TO DELETE THE REQUIREMENT THAT A SERVICEMAN MUST BE KILLED IN ACTION TO ALLOW THE SURVIVING SPOUSE AN EXEMPTION FOR A DWELLING HOUSE.

Referred to Committee on Ways and Means.

H. 3594 -- Labor, Commerce and Industry Committee: A BILL TO AMEND SECTION 34-29-140, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE CONSUMER FINANCE LAW, SO AS TO FURTHER PROVIDE FOR THE PROHIBITION AGAINST A LICENSEE INDUCING A PERSON TO SPLIT A LOAN IN ORDER FOR THE LICENSEE TO OBTAIN A HIGHER RATE OF INTEREST, AND TO AMEND CHAPTER 9, TITLE 37 OF THE 1976 CODE RELATING TO THE CONSUMER PROTECTION CODE BY ADDING SECTION 37-9-103 SO AS TO PROVIDE THAT CERTAIN SUBSIDIARIES OF THE SAME PARENT CORPORATION ARE NOT CONSIDERED RELATED PERSONS FOR PURPOSES OF THE REQUIREMENT THAT ALL RELATED PERSONS MAKING SUPERVISED CONSUMER LOANS MUST ELECT TO BE LICENSED UNDER THE SAME PROVISIONS OF LAW AND TO AUTHORIZE THE REVOCATION OF THE LICENSE OF THESE SUBSIDIARIES FOR ENGAGING IN OR FOR FAILING TO TAKE CERTAIN ACTIONS.

Without reference.

H. 3578--ORDERED TO BE READ THE NEXT TWO
SUCCESSIVE LEGISLATIVE DAYS

On motion of Rep. J. ANDERSON, with unanimous consent, it was ordered that H. 3578 be read the second and third times the next two successive legislative days.

H. 3591--ORDERED TO BE READ THE NEXT TWO
SUCCESSIVE LEGISLATIVE DAYS

On motion of Rep. McABEE, with unanimous consent, it was ordered that H. 3591 be read the second and third times the next two successive legislative days.

ROLL CALL

The roll call of the House of Representatives was taken resulting as follows.

Announcement was made that Dr. E. Conyers O'Bryan, Jr., of Florence is the Doctor of the Day for the General Assembly.

POINT OF ORDER

Rep. WINSTEAD raised the Point of Order that it was now 12:30 p.m., and in accordance with Rule 6.1, the House was now in recess.

Rep. GREGORY moved that the House do now adjourn.

The SPEAKER sustained the Point of Order and stated the House subject to the Ratification of Acts, was in recess until 2:00 p.m.

RATIFICATION OF ACTS

At 12:30 P.M. the House attended in the Senate Chamber, where the following Acts and Joint Resolutions were duly ratified.

(R346) S. 885 -- Finance Committee: A JOINT RESOLUTION TO PROVIDE THAT, FOR THE YEAR 1986 ONLY, ALL COUNTIES WITH A POPULATION OF TWENTY-FIVE THOUSAND OR LESS AS DETERMINED BY THE MOST RECENT OFFICIAL UNITED STATES CENSUS, WHICH ARE NOT OTHERWISE DESIGNATED AS A LESS DEVELOPED AREA OF THE STATE PURSUANT TO SECTION 12-7-616 OF THE 1976 CODE, FOR PURPOSES OF THE TAX CREDIT FOR NEW JOBS, ARE ALSO CONSIDERED A LESS DEVELOPED AREA FOR PURPOSES OF THIS TAX CREDIT FOR NEW JOBS.

(R347) S. 1009 -- Senators Waddell, J. Verne Smith and Horace C. Smith: A JOINT RESOLUTION TO PROVIDE FOR A THREE-HUNDRED-DOLLAR LIMIT ON SALES AND USE TAXES ON THE GROSS PROCEEDS OF THE SALE OF EACH ITEM OF MACHINERY FOR RESEARCH AND DEVELOPMENT DURING THE PERIOD BEGINNING JULY 1, 1986, AND ENDING JUNE 30, 1991, AND PROVIDE DEFINITIONS RELATING TO THE LIMITATION AND TO EXEMPT FROM COUNTY AD VALOREM TAXES FOR FIVE YEARS FACILITIES OF NEW ENTERPRISES ENGAGED IN RESEARCH AND DEVELOPMENT LOCATED IN THIS STATE DURING THE PERIOD BEGINNING JULY 1, 1986, AND ENDING JUNE 30, 1991, AND TO PROVIDE DEFINITIONS RELATING TO THE EXEMPTION.

(R348) S. 399 -- Senators Waddell, Lourie, Leatherman and Theodore: AN ACT TO AMEND CHAPTER 3 OF TITLE 12, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE SOUTH CAROLINA TAX COMMISSION, BY ADDING SECTION 12-3-260 SO AS TO AUTHORIZE THE TAX COMMISSION TO CONTRACT FOR COMPUTER AND OTHER ELECTRONIC DATA PROCESSING SERVICES, TO PROHIBIT THE PUBLICATION OR DISCLOSURE OF INFORMATION CONTAINED IN OR PRODUCED FROM ANY TAX RETURN, DOCUMENT, OR TAPE THROUGH THE DATA PROCESSING SERVICES, EXCEPT TO THE COMMISSION OR AS PROVIDED BY LAW OR A COURT ORDER, AND TO PROVIDE PENALTIES FOR VIOLATIONS.

(R349) S. 1049 -- Senator McGill: AN ACT TO AMEND SECTION 50-17-2110, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO SHAD FISHING WITH GILL NETS IN A PORTION OF THE SANTEE RIVER SO AS TO PROVIDE GILL NETS MAY BE USED ON TUESDAY AND THURSDAY OF ONE WEEK BEGINNING AT 7:00 P.M. UNTIL 6:00 A.M. THE FOLLOWING DAY AND ON WEDNESDAY AND FRIDAY OF THE FOLLOWING WEEK BEGINNING AT 7:00 P.M. UNTIL 6:00 A.M. OF THE FOLLOWING DAY INSTEAD OF THE ENTIRE TWENTY-FOUR HOUR PERIOD OF THE NAMED DAYS.

(R350) S. 322 -- Senators Courson, Newman, Giese and Lourie: AN ACT TO PROVIDE THAT THE TRUSTEES OF RICHLAND COUNTY SCHOOL DISTRICTS NO. 1 AND NO. 2 MUST BE ELECTED IN NONPARTISAN ELECTIONS AND TO PROVIDE FOR THE MANNER IN WHICH THESE TRUSTEES ARE ELECTED.

(R351) H. 2477 -- Labor, Commerce and Industry Committee: AN ACT TO REQUIRE EMPLOYERS WHO REQUIRE PROSPECTIVE EMPLOYEES TO COMPLETE A JOB TRAINING PROGRAM PRIOR TO EMPLOYMENT TO GIVE NOTICE TO PROSPECTIVE EMPLOYEES PRIOR TO THE BEGINNING OF THE PROGRAM IF COMPLETION OF THE PROGRAM DOES NOT GUARANTEE REGULAR EMPLOYMENT ON A PERMANENT BASIS AND TO PRESCRIBE THE FORM OF THE NOTICE.

(R352) H. 2661 -- Rep. R. Brown: AN ACT TO AMEND SECTION 50-13-1189, CODE OF LAWS OF SOUTH CAROLINA, 1976, PROHIBITING POSSESSION OF GAME FISH AND GAME FISH TACKLE WHEN FISHING WITH NONGAME TACKLE, SO AS TO PROVIDE THAT THE PROHIBITION DOES NOT APPLY WHEN THE NONGAME FISH TACKLE IS BOWS AND ARROWS OR CAST NETS.

(R353) H. 2787 -- Reps. Evatt, Wilkins and Beasley: AN ACT TO AMEND SECTIONS 20-7-490, 20-7-640, AND 20-7-650, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE SOUTH CAROLINA CHILDREN'S CODE, SO AS TO PROVIDE THAT THE DEFINITION OF "LOCAL CHILD PROTECTIVE SERVICE AGENCY" REFERS TO THE AGENCY OR THE DEPARTMENT OF SOCIAL SERVICES, TO REQUIRE THE AGENCY TO FOLLOW THE POLICIES AND REGULATIONS OF THE STATE DEPARTMENT OF SOCIAL SERVICES, AND TO AUTHORIZE THE STATE DEPARTMENT OF SOCIAL SERVICES TO ADOPT REGULATIONS; AND TO AMEND SECTION 43-1-80, RELATING TO THE STATE DEPARTMENT OF SOCIAL SERVICES, SO AS TO REQUIRE THE STATE DEPARTMENT TO SUPERVISE AND ADMINISTER ACTIVITIES OF CHILD PROTECTIVE SERVICES.

(R354) H. 3284 -- Ways and Means Committee: AN ACT TO AMEND SECTION 44-6-150, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE CREATION OF THE SOUTH CAROLINA MEDICALLY INDIGENT ASSISTANCE FUND, SO AS TO REPLACE PER CAPITA INCOME WITH PERSONAL INCOME AS ONE OF THE FACTORS WHICH MUST BE USED IN COMPUTING EACH COUNTY'S ASSESSMENT TO THE FUND, TO SPECIFY, FOR FISCAL YEAR 1985-86 ONLY, THE AMOUNT OF EACH COUNTY'S CONTRIBUTION TO THE FUND, AND TO MAKE THE PROVISIONS OF THIS ACT RETROACTIVE TO THE EFFECTIVE DATE OF SECTION 19 OF PART II OF ACT 201 OF 1985.

(R355) H. 2119 -- Reps. Washington, Sheheen, T. Rogers, Ferguson, Keyserling, Woods, White, Faber, Blanding, Mitchell, D. Martin, Williams, Toal, Rawl and S. Anderson: AN ACT TO PROVIDE FOR THE SOUTH CAROLINA RESIDENTIAL LANDLORD AND TENANT ACT WHICH REGULATES THE RENTING AND LEASING OF CERTAIN DWELLING UNITS LOCATED WITHIN THIS STATE AND WHICH INCLUDES PROVISIONS TO ESTABLISH JURISDICTION AND THE METHOD OF OBTAINING JURISDICTION OVER THE PARTIES INVOLVED, TO MAKE CERTAIN DEFINITIONS, TO IMPOSE AN OBLIGATION OF GOOD FAITH IN THE PERFORMANCE AND ENFORCEMENT OF DUTIES AND OBLIGATIONS, TO PROHIBIT UNCONSCIONABILITY, TO PROVIDE FOR THE TERMS AND CONDITIONS OF RENTAL AGREEMENTS AND THE EFFECT OF UNSIGNED OR UNDELIVERED RENTAL AGREEMENTS, TO PROHIBIT CERTAIN PROVISIONS IN RENTAL AGREEMENTS, TO PROVIDE FOR LANDLORD OBLIGATIONS, LIABILITY AND REMEDIES, TO PROVIDE FOR TENANT OBLIGATIONS, LIABILITY AND REMEDIES, TO PROVIDE FOR MANNER OF TERMINATION OF TENANCIES AND HOLDOVER REMEDIES, TO PROHIBIT RETALIATORY CONDUCT, TO PROVIDE THAT CHAPTER 35, TITLE 27, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO CREATION, ESTABLISHMENT AND TERMINATION OF LEASEHOLD ESTATES, CHAPTER 37, TITLE 27, RELATING TO EJECTMENT OF TENANTS, AND ARTICLE 3, CHAPTER 39, TITLE 27, RELATING TO COLLECTION OF RENT BY DISTRAINT IS NOT APPLICABLE TO THE LEASING OR RENTING OF ANY REAL PROPERTY OTHERWISE GOVERNED UNDER THE PROVISIONS OF THIS ACT, AND TO AMEND THE CODE BY ADDING SECTION 27-37-160 SO AS TO ESTABLISH CERTAIN PROCEDURES TO BE FOLLOWED BY CONSTABLES OR DEPUTY SHERIFFS WHEN EXECUTING WRITS OF EJECTMENT.

(R356) H. 2751 -- Reps. Evatt, Beasley and Wilkins: AN ACT TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 20-7-1645, SO AS TO ALLOW A STATE AGENCY TO COMPENSATE A FOSTER FAMILY FOR THE UNINSURED LOSS NOT TO EXCEED FIVE HUNDRED DOLLARS THAT THEY INCUR WHEN THEIR PROPERTY IS DAMAGED OR DESTROYED BY THE FOSTER CHILD PLACED IN THEIR HOME.

(R357) H. 3339 -- Labor, Commerce and Industry Committee: AN ACT TO AMEND CHAPTER 9, TITLE 38, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE CONDUCT OF INSURANCE BUSINESS, BY ADDING ARTICLE 7 SO AS TO PROVIDE STANDARDS GOVERNING CANCELLATION, NONRENEWAL, AND RENEWAL OF PROPERTY INSURANCE AND CASUALTY INSURANCE COVERAGES, INCLUDING, AMONG OTHER THINGS, THE ESTABLISHMENT OF UNLAWFUL ACTS.

(R358) H. 3364 -- Reps. Marchant, Alexander, Blackwell, P. Bradley, Brett, Fair, Mattos, L. Phillips, Rice, Rigdon, Shelton and Wilkins: AN ACT TO AMEND SECTION 7-7-280, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE VOTING PRECINCTS AND POLLING PLACES IN GREENVILLE COUNTY SO AS TO REVISE THE POLLING PLACE OF GREENVILLE PRECINCT 14.

(R359) H. 2259 -- Reps. Ferguson, Kirsh and Lewis: AN ACT TO AMEND ARTICLES 3, 7, 9, AND 13, CHAPTER 7 OF TITLE 14, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO JURIES AND CERTAIN JURY PROCEDURES, SO AS TO REVISE THE SELECTION PROCESS FOR JURORS OF THE PETIT AND GRAND JURIES, AND TO REPEAL ARTICLE 5, CHAPTER 7 OF TITLE 14, RELATING TO THE ALTERNATIVE METHOD OF DRAWING AND SUMMONING JURORS IN THE CIRCUIT COURT, AND TO REPEAL ACT 208 OF 1977, RELATING TO JURY POOLS WHEN CONCURRENT TERMS OF CIRCUIT COURT ARE SCHEDULED.

(R361) H. 2091 -- Reps. Kirsh, Freeman and Hayes: AN ACT TO AMEND SECTION 7-13-60, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE HOURS OF THE OPENING AND CLOSING OF POLLING PLACES, SO AS TO CHANGE THE HOUR OF THE OPENING OF THE POLLS FROM EIGHT TO SEVEN O'CLOCK A.M.

(R362) H. 2178 -- Reps. Rawl, P. Bradley, Gregory, J. Bradley, Winstead, Limehouse, Short and Russell: AN ACT TO AMEND CHAPTER 3 OF TITLE 47, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO DOGS AND OTHER DOMESTIC PETS, BY ADDING ARTICLE 2 SO AS TO PROVIDE FOR LIABILITY FOR THE DAMAGES SUFFERED BY ANY PERSON AS A RESULT OF HAVING BEEN BITTEN OR OTHERWISE ATTACKED BY A DOG, PROVIDE FOR THE CONDITIONS AND CIRCUMSTANCES UNDER WHICH THE LIABILITY IS APPLICABLE, AND PROVIDE, AMONG OTHER THINGS, THAT IF A PERSON PROVOKES A DOG INTO ATTACKING HIM THEN THE OWNER OF THE DOG IS NOT LIABLE.

(R363) H. 2911 -- Judiciary Committee: AN ACT TO AMEND SECTIONS 7-13-350, AS AMENDED, AND 7-13-351, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING RESPECTIVELY TO CERTIFICATION OF NOMINEES IN A PARTY PRIMARY OR CONVENTION, TO THE GENERAL ELECTION BALLOT AND PETITION CANDIDATES, SO AS TO INCLUDE COUNTYWIDE OR LESS THAN COUNTYWIDE OFFICES WITHIN THOSE OFFICES COVERED BY THE PROVISIONS AND TO AMEND THE 1976 CODE BY ADDING SECTION 7-13-352, SO AS TO PROVIDE A UNIFORM DEADLINE FOR FILING STATEMENTS OF CANDIDACY BY PERSONS SEEKING ELECTION TO NONPARTISAN OFFICES, MULTI-COUNTY DISTRICTS, COUNTYWIDE, OR LESS THAN COUNTYWIDE, WHEN THE ELECTION IS HELD AT THE TIME OF THE GENERAL ELECTION.

(R364) H. 2912 -- Judiciary Committee: AN ACT TO AMEND SECTION 7-5-120, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO QUALIFICATIONS FOR VOTING, SO AS TO ELIMINATE THE REQUIREMENT THAT A QUALIFIED ELECTOR READ AND WRITE A SECTION OF THE STATE CONSTITUTION AND TO AMEND SECTION 7-5-170, AS AMENDED, RELATING TO VOTER REGISTRATION FORMS, SO AS TO ELIMINATE REFERENCES TO AN APPLICANT READING AND WRITING A SECTION OF THE STATE CONSTITUTION AND TO REQUIRE ADDITIONAL INFORMATION.

(R365) H. 2913 -- Judiciary Committee: AN ACT TO AMEND SECTION 7-1-20, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO DEFINITIONS FOR PURPOSES OF ELECTION LAW, SO AS TO CORRECT A REFERENCE IN THE DEFINITION OF "POLITICAL PARTY", AND TO AMEND SECTION 7-9-10, AS AMENDED, RELATING TO CERTIFICATION OF POLITICAL PARTIES BY THE STATE ELECTION COMMISSION, SO AS TO PROVIDE A METHOD FOR DECERTIFYING PARTIES FAILING TO MEET CRITERIA FOR CERTIFIED PARTIES AND PROVIDE A METHOD FOR OBTAINING CERTIFICATION AS A POLITICAL PARTY.

(R366) H. 2209 -- Reps. Cork, Aydlette, W. Arthur, Lloyd Hendricks, Cooper, Evatt, Woodruff, Huff, M.D. Burriss, Harvin, Marchant, Blanding, Koon, Carnell, Hawkins and Schwartz: AN ACT TO AMEND ACT 190 OF 1979, RELATING TO FIRE PROTECTION, SO AS TO PROVIDE THAT THE STATE FIRE COMMISSION IS THE SINGLE SOURCE OF AUTHORITY TO PROMULGATE FIRE PREVENTION AND PROTECTION REGULATIONS, TO PROVIDE THAT THE FIRE COMMISSION MAY NOT PROMULGATE REGULATIONS CONCERNING THE UNIFORM STANDARD FOR MANUFACTURED HOUSING AND TO PROVIDE THAT THE STATE FIRE COMMISSION INSTEAD OF THE STATE BOARD FOR TECHNICAL COMPREHENSIVE EDUCATION HAS THE SOLE RESPONSIBILITY FOR THE OPERATION OF THE SOUTH CAROLINA FIRE ACADEMY; TO CHANGE THE COMPOSITION OF THE FIRE ACADEMY COMMITTEE; TO AMEND SECTION 23-9-30, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO RESIDENT FIRE MARSHALS, SO AS TO AUTHORIZE ANY STATE OR LOCAL GOVERNMENT EMPLOYEE CERTIFIED BY THE STATE FIRE MARSHAL WHOSE DUTIES INCLUDE INSPECTION AND ENFORCEMENT OF STATE OR LOCAL FIRE SAFETY CODES AND STANDARDS, TO EXERCISE THE POWERS AND DUTIES OF THE STATE FIRE MARSHAL, AND TO AMEND SECTION 23-9-60, AS AMENDED, RELATING TO FIRE PREVENTION AND PROTECTION STANDARDS, SO AS TO DELETE THE REFERENCE TO MINIMUM STANDARDS, AND TO AMEND SECTION 6-9-110, AS AMENDED, RELATING TO THE PROHIBITION OF A LOCAL ORDINANCE OR REGULATION PRESCRIBING BUILDING STANDARDS OR REQUIRING A PERMIT TO APPLY TO STATE PROJECTS, SO AS TO DELETE THE PROHIBITIONS REGARDING THE APPLICABILITY OF LOCAL ORDINANCES WHICH PRESCRIBE BUILDING STANDARDS AND WHICH PROHIBIT LOCAL BUILDING OFFICIALS FROM MAKING INSPECTIONS ON STATE-OWNED BUILDINGS.

THE HOUSE RESUMES

At 2:00 P.M. the House resumed, the SPEAKER Pro Tempore in the Chair.

POINT OF QUORUM

The question of a quorum was raised.

A quorum was later present.

ORDERED ENROLLED FOR RATIFICATION

The following Bill was read the third time, passed and, having received three readings in both Houses, it was ordered that the title be changed to that of an Act, and that it be enrolled for Ratification.

S. 977 -- Senator Nell Smith: A BILL TO AMEND SECTION 7-7-450, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO VOTING PRECINCTS IN PICKENS COUNTY, SO AS TO DELETE THE NUMERICAL DESIGNATION OF EACH PRECINCT.

SENT TO THE SENATE

The following Bill was taken up, read the third time, and ordered sent to the Senate.

H. 2762 -- Reps. P. Harris, J. Harris, Woods and Helmly: A BILL TO AMEND SECTION 44-17-410, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO EMERGENCY ADMISSION OF POTENTIALLY DANGEROUS PERSONS WHO ARE MENTALLY ILL, SO AS TO CHANGE THE TIME WITHIN WHICH A HEARING ON THE ADMISSION MUST BE HELD FROM TWENTY DAYS TO FROM TEN TO FIFTEEN DAYS.

H. 3540--OBJECTIONS

The following Bill was taken up.

H. 3540 -- Labor, Commerce and Industry Committee: A BILL TO AMEND SECTION 40-21-10, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO ENGINEERS AND LAND SURVEYORS, SO AS TO CHANGE THE DEFINITION OF "PRACTICE OF LAND SURVEYING" SO AS TO EXPAND THE DEFINITION, INCLUDE THE WORK A TIER B LAND SURVEYOR MAY PERFORM AND DEFINE THE TERM "ABET" AS MEANING THE ACCREDITATION BOARD FOR ENGINEERING AND TECHNOLOGY; TO AMEND THE 1976 CODE BY ADDING SECTION 40-21-195 SO AS TO ESTABLISH THE QUALIFICATION FOR A TIER B LAND SURVEYOR; TO AMEND SECTION 40-21-200, AS AMENDED, RELATING TO THE QUALIFICATIONS OF A LAND SURVEYOR, SO AS TO ESTABLISH THE QUALIFICATIONS OF A TIER A LAND SURVEYOR; TO AMEND SECTION 40-21-206, RELATING TO THE QUALIFICATIONS FOR A SURVEYOR-IN-TRAINING, SO AS TO REQUIRE THAT APPLICANTS MUST MEET THE STANDARDS OF THE ACCREDITATION BOARD FOR ENGINEERS AND TECHNOLOGY AND TO DELETE THE REQUIREMENT THAT AN APPLICANT MUST BE A GRADUATE OF A HIGH SCHOOL OR POSSESS A STATE EQUIVALENCY CERTIFICATE; TO PROVIDE THAT ANY PERSON REGISTERED AS A SURVEYOR-IN-TRAINING UNDER THE PROVISIONS OF CHAPTER 21 OF TITLE 40 AS IT EXISTED PRIOR TO THE EFFECTIVE DATE OF THIS ACT OR WHO MAY BE REGISTERED OR WHO CAN PROVIDE EVIDENCE SATISFACTORY TO THE BOARD OF REGISTRATION FOR PROFESSIONAL ENGINEERS AND LAND SURVEYORS MAY BE REGISTERED AS A TIER A LAND SURVEYOR BY PASSING THE WRITTEN OR WRITTEN AND ORAL EXAMINATIONS IN THE PRINCIPLES AND PRACTICES IN TIER A OF LAND SURVEYING AS MAY BE PROVIDED BY THE BOARD; AND TO PROVIDE THAT THE BOARD SHALL PROMULGATE REGULATIONS EFFECTUATING THE PROVISIONS OF THIS ACT.

Rep. HEARN explained the Bill.

ACTING SPEAKER L. MARTIN IN CHAIR

Rep. HEARN continued speaking.

Reps. GREGORY and SIMPSON objected to the Bill.

Rep. HEARN continued speaking.

Rep. KLAPMAN objected to the Bill.

H. 2514--OBJECTION

The following Bill was taken up.

H. 2514 -- Reps. Tucker and Cooper: A BILL TO PROVIDE THAT NO WATER OR SEWAGE SYSTEM OWNED OR OPERATED BY A COUNTY, MUNICIPALITY, SPECIAL PURPOSE DISTRICT, OR POLITICAL SUBDIVISION OF THIS STATE MAY BE EXTENDED, LEASED, OR OPERATED IN THE UNINCORPORATED AREA OF ANY COUNTY OTHER THAN THE COUNTY OR COUNTIES WHERE IT IS ALREADY OWNED OR OPERATED EXCEPT UNDER A CERTAIN CONDITION.

Rep. RICE objected to the Bill.

S. 462--DEBATE ADJOURNED

Rep. HEARN moved to adjourn debate upon the following Bill, which was adopted.

S. 462 -- Senators Land and Theodore: A BILL TO AMEND SECTIONS 40-57-100, 40-57-110, 40-57-150, 40-57-170, AND 40-57-180, ALL AS AMENDED, AND 40-57-10, 40-57-30, 40-57-40, 40-57-90, 40-57-120, 40-57-160, AND 40-57-240, RELATING TO REAL ESTATE BROKERS, COUNSELLORS, SALESMEN, APPRAISERS, PROPERTY MANAGERS, EXAMINATIONS, LICENSING, AND COMMISSION RULINGS AND DECISIONS, SO AS TO PROVIDE ADDITIONAL PREREQUISITES FOR THE EXAMINATION AND LICENSING OF PROPERTY MANAGERS, TO AUTHORIZE THE COMMISSION TO ESTABLISH AN APPLICATION FEE, TO CLARIFY PROVISIONS RELATING TO REAL ESTATE AUCTIONEERS; TO AUTHORIZE THE COMMISSION TO ASSESS FINES FOR MISREPRESENTATIONS AND OTHER INFRACTIONS AND TO ISSUE SUBPOENA AND CEASE AND DESIST ORDERS, TO DEFINE BROKER TO INCLUDE A PERSON WHO NEGOTIATES OR SOLICITS REFERRALS AND DEFINE BROKER-IN-CHARGE, PROPERTY MANAGER, AND PROPERTY MANAGER-IN-CHARGE, TO PROVIDE THAT THE PROVISIONS OF THE CHAPTER DO NOT APPLY TO TRANSACTIONS INVOLVING RENTAL OR LEASING OF REAL ESTATE BY THE OWNER, TO REQUIRE THAT ALL PERSONS LICENSED BY THE COMMISSION SUBMIT A CREDIT REPORT, TO PROVIDE THAT PROPERTY MANAGER IS AN ADDITIONAL LICENSE CLASSIFICATION AND THAT NO PERSON BE LICENSED IN MORE THAN ONE CLASSIFICATION, TO PROHIBIT INDUCEMENTS BY LICENSEES IN THE SALE OF REAL ESTATE, TO PROVIDE NOTICE TO THE COMMISSION OF CIVIL OR CRIMINAL ACTIONS AND JUDGMENTS, TO INCREASE THE PENALTY FOR FAILURE TO RENEW A LICENSE TO DEAL IN REAL ESTATE TRANSACTIONS FROM AN AMOUNT NOT TO EXCEED ONE HUNDRED DOLLARS TO FIVE HUNDRED DOLLARS AND INCREASE THE MAXIMUM PRISON TERM FROM THIRTY DAYS TO SIX MONTHS, AND TO AMEND THE 1976 CODE BY ADDING SECTION 40-57-250 SO AS TO PROVIDE FOR AN ADMINISTRATIVE FINE.

H. 3568--ORDERED TO THIRD READING

The following Bill was taken up.

H. 3568 -- Ways and Means Committee: A BILL TO ESTABLISH THE CONTINUUM OF CARE FOR EMOTIONALLY DISTURBED CHILDREN, TO PROVIDE FOR A GOVERNING BODY THEREFOR TO BE KNOWN AS THE POLICY COUNCIL, TO PROVIDE FOR AN ADVISORY COUNCIL FOR THIS GOVERNING BODY, AND TO PROVIDE FOR THE POWERS, DUTIES, AND FUNCTIONS OF THE CONTINUUM OF CARE.

Rep. McABEE explained the Bill.

SPEAKER PRO TEMPORE IN CHAIR

Rep. McABEE continued speaking.

The Bill was read the second time and ordered to third reading.

OBJECTION TO MOTION

Rep. McABEE asked unanimous consent that H. 3568 be read a third time tomorrow.

Rep. KLAPMAN objected.

H. 2241--OBJECTIONS

The following Bill was taken up.

H. 2241 -- Reps. Gilbert, Woods, Klapman, Washington, J. Bradley, Hearn, Neilson, Foster and Williams: A BILL TO REQUIRE THE STATE BOARD OF EDUCATION TO FORMULATE A DEFINITION OF A GRADE OR MARK IN REPORTING STUDENT PROGRESS IN PUBLIC SCHOOLS AND TO ESTABLISH A SYSTEM FOR HANDLING HEARINGS CONCERNING ALLEGED ERRORS IN GRADING.

Rep. GILBERT explained the Bill.

Reps. BLACKWELL, MATTOS and ALEXANDER objected to the Bill.

H. 3540--AMENDED AND ORDERED TO THIRD READING

Upon the withdrawal of an objection by Rep. GREGORY, with unanimous consent, the following Bill was taken up.

H. 3540 -- Labor, Commerce and Industry Committee: A BILL TO AMEND SECTION 40-21-10, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO ENGINEERS AND LAND SURVEYORS, SO AS TO CHANGE THE DEFINITION OF "PRACTICE OF LAND SURVEYING" SO AS TO EXPAND THE DEFINITION, INCLUDE THE WORK A TIER B LAND SURVEYOR MAY PERFORM AND DEFINE THE TERM "ABET" AS MEANING THE ACCREDITATION BOARD FOR ENGINEERING AND TECHNOLOGY; TO AMEND THE 1976 CODE BY ADDING SECTION 40-21-195 SO AS TO ESTABLISH THE QUALIFICATION FOR A TIER B LAND SURVEYOR; TO AMEND SECTION 40-21-200, AS AMENDED, RELATING TO THE QUALIFICATIONS OF A LAND SURVEYOR, SO AS TO ESTABLISH THE QUALIFICATIONS OF A TIER A LAND SURVEYOR; TO AMEND SECTION 40-21-206, RELATING TO THE QUALIFICATIONS FOR A SURVEYOR-IN-TRAINING, SO AS TO REQUIRE THAT APPLICANTS MUST MEET THE STANDARDS OF THE ACCREDITATION BOARD FOR ENGINEERS AND TECHNOLOGY AND TO DELETE THE REQUIREMENT THAT AN APPLICANT MUST BE A GRADUATE OF A HIGH SCHOOL OR POSSESS A STATE EQUIVALENCY CERTIFICATE; TO PROVIDE THAT ANY PERSON REGISTERED AS A SURVEYOR-IN-TRAINING UNDER THE PROVISIONS OF CHAPTER 21 OF TITLE 40 AS IT EXISTED PRIOR TO THE EFFECTIVE DATE OF THIS ACT OR WHO MAY BE REGISTERED OR WHO CAN PROVIDE EVIDENCE SATISFACTORY TO THE BOARD OF REGISTRATION FOR PROFESSIONAL ENGINEERS AND LAND SURVEYORS MAY BE REGISTERED AS A TIER A LAND SURVEYOR BY PASSING THE WRITTEN OR WRITTEN AND ORAL EXAMINATIONS IN THE PRINCIPLES AND PRACTICES IN TIER A OF LAND SURVEYING AS MAY BE PROVIDED BY THE BOARD; AND TO PROVIDE THAT THE BOARD SHALL PROMULGATE REGULATIONS EFFECTUATING THE PROVISIONS OF THIS ACT.

The Bill was read the second time and ordered to third reading.

OBJECTION TO MOTION

Rep. DANGERFIELD asked unanimous consent that H. 3540 be read a third time tomorrow.

Rep. KLAPMAN objected.

HOUSE RESOLUTION

The following was introduced:

H. 3595 -- Rep. Toal: A HOUSE RESOLUTION TO SET H. 3550, RELATING TO THE GENERAL APPROPRIATIONS BILL, FOR SPECIAL ORDER AT 3:00 P.M., MONDAY, MARCH 10, 1986, TO SUPERSEDE OTHER BILLS SET FOR SPECIAL ORDER.

Be it resolved by the House of Representatives:

That pursuant to House Rule 4.15, the Rules of the House as they pertain to special orders previously set are suspended to the extent that H. 3550 is hereby set for special order beginning at 3:00 p.m., Monday, March 10, 1986, and the special order shall interrupt and take preference over all pending special orders and shall continue on each legislative day thereafter following the call of the uncontested calendar until H. 3550 is given second reading or otherwise disposed of.

Be it further resolved that following second reading or other disposition of H. 3550, the House shall revert to the other special orders and they shall continue in the same order previously agreed to.

Rep. TOAL explained the Resolution.

The Resolution was adopted.

HOUSE RESOLUTION

The following was introduced:

H. 3596 -- Rep. Toal: A HOUSE RESOLUTION TO SET BY SPECIAL ORDER H. 3279, RELATING TO CAPITAL IMPROVEMENT BONDS FOR PRISON CONSTRUCTION, FOR SECOND READING OR OTHER CONSIDERATION IMMEDIATELY FOLLOWING SECOND READING OR OTHER DISPOSITION OF S.153 AND TO PROVIDE FOR THE CONTINUING SPECIAL ORDER CONSIDERATION OF H.3279 UNTIL SECOND READING OR OTHER DISPOSITION.

Be it resolved by the House of Representatives:

That H. 3279 be set by special order for second reading or other consideration immediately following second reading or other disposition of S. 153 and continuing each legislative day thereafter immediately following the call of the uncontested calendar until H. 3279 is given second reading or it is otherwise disposed of.

Rep. TOAL explained the Resolution.

The Resolution was adopted.

HOUSE RESOLUTION

The following was introduced:

H. 3597 -- Rep. Toal: A HOUSE RESOLUTION TO SET BY SPECIAL ORDER H. 3283, RELATING TO ADDITIONAL CAPITAL IMPROVEMENT BONDS, FOR SECOND READING OR OTHER CONSIDERATION IMMEDIATELY FOLLOWING SECOND READING OR OTHER DISPOSITION OF H. 3279 AND TO PROVIDE FOR THE CONTINUING SPECIAL ORDER CONSIDERATION OF H. 3283 UNTIL SECOND READING OR OTHER DISPOSITION.

Be it resolved by the House of Representatives:

That H. 3283 be set by special order for second reading or other consideration immediately following second reading or other disposition of H. 3279 and continuing each legislative day thereafter immediately following the call of the uncontested calendar until H. 3283 is given second reading or it is otherwise disposed of.

Rep. TOAL explained the Resolution.

The Resolution was adopted.

H. 2737--AMENDED AND INTERRUPTED DEBATE

The following Bill was taken up.

H. 2737 -- Reps. P. Harris, Carnell, Edwards, Kirsh and McLellan: A BILL TO ESTABLISH THE SOUTH CAROLINA INFRASTRUCTURE AUTHORITY, TO PROVIDE FOR THE MEMBERSHIP OF ITS GOVERNING BODY, AND PROVIDE FOR ITS FUNCTIONS, DUTIES, AND POWERS.

Amend the bill, as and if amended, by striking Sections 1 through 4 and inserting:
/SECTION 1. The General Assembly finds that the South Carolina Infrastructure Authority created herein is established for the purpose of assisting local governments and other specified project sponsors in the financing of projects so as to promote the general well-being of the public, to encourage economic growth and development, and to protect the environment. Financial assistance may be in the form of low-interest loans, credit enhancement, and other assistance as specified herein, to be funded through the establishment of the Infrastructure Fund or receipt of other funds. This assistance will be recapitalized through loan repayment by local governments, subsequent bond issuance as necessary, and by the receipt of other funds.
SECTION 2. As used in this act:

(a) "Authority" means the South Carolina Infrastructure Authority.

(b) "Board" means the board of directors of the Authority.

(c) "Fund" means the South Carolina Infrastructure Fund established to capitalize the Authority for the purpose of providing loans or other assistance to project sponsors.

(d) "Infrastructure" means: (i) a facility developed for the purpose of water storage and supply; (ii) a sewer system or treatment facility; (iii) any other type of infrastructure project which provides for the economic growth and development of the State and which is a facility that provides a public service; or (iv) any enlargement or improvement of any of the projects described in this item.

(e) "Project Sponsor" means any county, municipality, special purpose district providing water or sewer services, or any other state or local authority, public service district providing water or sewer services or, political subdivision created pursuant to the laws of the State of South Carolina which is empowered to enter into a debt obligation as the project sponsor.
SECTION 3. (a) The South Carolina Infrastructure Authority is created which is a public body, corporate and politic, and an agency of the State with the duties and powers set forth in this act.

(b) The Authority must be governed by a board of directors. The board shall consist of three members appointed by the Governor for terms of three years each and until their successors are appointed and qualify; provided, the Governor shall initially appoint one of these members to a one-year term, one of these members to a two-year term, and one of these members to a three-year term. Vacancies in these three appointed positions must be filled for the remainder of the unexpired term in the manner of the original appointment. The Governor in making these appointments shall endeavor to appoint members representative of banking and financial interests, municipal and county governments, licensed general utility contractors, special purpose districts, and other sectors affected by the actions of the Authority. One of these appointed members of the board must be named as chairman by the Governor. In addition to these appointed members of the board, there are six ex officio voting members of the board as follows:

(1) A member of the South Carolina House of Representatives appointed by the Speaker of the House;

(2) a member of the South Carolina Senate appointed by the President Pro Tempore of the Senate;

(3) the Chairman or his designee of the Ways and Means Committee of the South Carolina House of Representatives;

(4) the chairman or his designee of the Finance Committee of the South Carolina Senate;

(5) the chairman of the governing body of the Department of Health and Environmental Control or a member of this governing body designated by the chairman;

(6) the chairman of the governing body of the South Carolina Water Resources Commission or a member of this governing body designated by the chairman.

The terms of these ex officio members of the Authority are coterminous with their other term of office. The ex officio members appointed pursuant to items (1) and (2) may only serve one consecutive term on the Authority.

(c) The Budget and Control Board shall provide all administrative support to the Authority. It may do so directly or by contract. The cost of these services to the Authority from the Budget and Control Board must be reimbursed to the Budget and Control Board by the General Assembly in the annual general appropriation act or if no appropriations are provided, through fees for services provided to project sponsors. These fees may be incorporated as a part of the total debt obligation and repaid as such.

(d) The South Carolina Infrastructure Fund is hereby created to which must be deposited all monies received by the board for the implementation of the programs authorized under this act including but not limited to the proceeds of any bonds issued by the board hereunder or any grants by any agency of the United States or any other person.

(e) The board shall set policy for the administration of the Fund and approve the use of all monies derived under this act. For this purpose, the board shall:

(1) Develop an annual assessment of the public need for, and public benefit from water and sewer infrastructure projects, and other infrastructure facilities for the purpose of promoting the public welfare by encouraging and retaining jobs and responding to emergency situations as described in Section 3(d)(3). The determination of annual priorities of need shall consider the priority list recommended by the Joint Bond Review Committee after considering priority lists submitted by each of the ten regional planning councils, by the Department of Health and Environmental Control, and by the Water Resources Commission. The determination of annual priorities of need must be based upon this assessment;

(2) Receive applications from project sponsors for loans as provided for in Section 14, and determine the need for the loan;

(3) Adopt an annual list of priorities for projects consistent with the provisions of Sections 13 and 14 to be adopted at the beginning of each state fiscal year. Based upon available funds, and based upon the determination of need and repayment capabilities, the board shall enter into loan agreements with project sponsors, or determine the recipients of other forms of aid as provided in this act. The board shall not deviate from the annual list of priority projects as determined by the board at the beginning of each fiscal year; provided, that the board has the power to allocate any funds available to it for imminent economic development projects or emergencies, irrespective of any prior determination of priority projects. An imminent economic development project is one dependent upon a quick response that would fail if it had to wait until the next annual priority list is prepared. An emergency occurrence is a situation endangering or with the potential to endanger public health and welfare where the Governor has made a declaration of emergency or the Commissioner of the Department of Health and Environmental Control has declared an imminent health hazard condition. All project or facility priority determinations shall take into account ability to pay, to include consideration of and coordination with other grants or loans from government agencies or private lending institutions as well as guidelines for evaluating the reasonableness of project cost and the security for repayment by the project sponsor, all of which must be a part of the criteria for evaluation to be developed as a part of the regulations of the board;

(4) Monitor loan repayment, available funds, and debt obligations issued in connection with the programs established hereunder; and annually report to the Joint Bond Review Committee and the General Assembly on the annual activities and financial status of the Fund, and report to the Joint Bond Review Committee and General Assembly on the need for fund recapitalization;

(5) Arrange for yearly audit of the financial activities and accounts in connection with the Fund in cooperation with the State Auditor's Office.
SECTION 4. (A) As soon as practicable after appointment, the board shall organize by choosing a vice-chairman, secretary, and such other officers as considered necessary. The net earnings of the Authority, beyond that necessary for retirement of its bonds or other obligations or to implement the purposes of this act, shall not inure to the benefit of any person other than the Authority. Upon termination of the existence of the Authority, title to all property, real and personal, owned by it, including net earnings, must vest in the State.

(B) Meetings of the board shall be held at times and in places as the board determines. The board must meet at least one time in each calendar quarter. Meetings of the board may be held by means of conference telephone or any means of communication by which all persons participating in the meeting can hear each other at the same time and participation by such means constitutes presence in person at the meetings. A majority of the board then in office constitutes a quorum at any meeting. Approval of a majority of the board then in office is required to take action./

Amend title to conform.

Renumber remaining sections to conform.

Rep. McLELLAN explained the amendment.

LEAVE OF ABSENCE

The SPEAKER Pro Tempore granted Rep. MARCHANT a leave of absence for the remainder of the day.

Amend the bill, as and if amended, by striking all after the enacting words and inserting:
/SECTION 1. The General Assembly finds that many communities find it increasingly difficult to finance infrastructure projects because of inadequate credit, diminishment of federal funds, scarcity of capital, inadequate tax bases, and similar reasons, that the inability to finance infrastructure projects in a timely fashion hampers these communities in attracting business and industry and threatens the health and welfare of the State's inhabitants and its environment and that the result of these circumstances is a continuation of the cycle of poverty, poor health, and illiteracy. The General Assembly further finds that establishment of a South Carolina Infrastructure Fund for the purpose of assisting local governments and other specified project sponsors in the financing of infrastructure projects will promote the general well-being of the public, encourage economic growth and development, and protect the environment. The Infrastructure Fund may be used to provide financial assistance to project sponsors for infrastructure projects in the form of low-interest loans, credit enhancement, and the other forms of assistance specified herein. Project Sponsors are authorized to contract with private entities to provide water and sewer services. The Infrastructure Fund may be capitalized from time to time through issuance of bonds, loan repayment by local governments, and the receipt of other funds. The General Assembly does not intend that the Infrastructure Fund be utilized as a means to finance project sponsors beyond their capability to meet repayment schedules and debt service requirements of bonds or notes.

SECTION 2. As used in this act:

(a) "Board" means the governing body of the South Carolina Jobs-Economic Development Authority.

(b) "Infrastructure Project" means: (i) a facility developed for the purpose of water storage and supply; (ii) a sewer system or treatment facility; (iii) the construction of toll roads or toll bridges; or (iv) any enlargement or improvement of any of the projects described in this item.

(c) "Project Sponsor" means any county or municipality which acts on its own behalf or which agrees within applicable constitutional and statutory limitations to act as project sponsor on behalf of any special purpose district providing water or sewer services or any other state or local authority, public service district providing water or sewer services, political subdivision or other eleemosynary entity created pursuant to the laws of the State of South Carolina which is empowered to enter into a debt obligation, and which has received approval of the proposed project from a majority of the legislative delegation of the county or counties in which the project will be located.

(d) "Priority Assessment" means the periodic assessment by the board of the chronological order in which the Infrastructure Projects are to be financed in the whole or in part pursuant to the provisions of this act, as determined in accordance with the provisions of this act.

(e) "State" means the State of South Carolina.
SECTION 3. The South Carolina Infrastructure Fund is hereby created as a separate fund of the South Carolina Jobs-Economic Development Authority to which must be deposited all monies received by the Board for the implementation of the programs authorized under this act including but not limited to the proceeds of any bonds issued by the Board hereunder or any grants by any agency of the United States or any other person.

The Board shall set policy for the administration of the Fund and approve the use of all monies derived under this act. For this purpose, the Board shall:

(1) Establish the criteria for determining an annual Priority Assessment of the Infrastructure Projects considering inter alia, the following factors: (i) the financial soundness of the Infrastructure project as determined in writing before any money is lent to or bonds purchased from the project sponsor; (ii) the potential of the Infrastructure Project to create or retain jobs or other public benefits; (iii) the public health and welfare requirements within the jurisdiction of the Project Sponsor; (iv) the creditworthiness of the Project Sponsor, and the measures taken by the Project Sponsor to ensure reasonable project costs; and (v) the availability or lack thereof of other funds to finance the Infrastructure Project;

(2) Develop annually a priority assessment;

(3) Receive applications from Project Sponsors for loans and other assistance as provided for herein and determine the comparative need for the loan or other assistance;

(4) Based upon available funds and based upon the Priority Assessment, enter into loan agreements with Project Sponsors and determine the recipients of other forms of aid as provided in this act. The board shall not deviate from the Priority Assessment except for emergency projects as described below. An emergency project is an Infrastructure Project which (i) is dependent upon a quick response and that would fail if it had to wait until the next annual priority list is prepared taking into account whether other reasonable forms of financing are available or (ii) involves a situation which endangers or has a clear potential to endanger public health and welfare where the Governor has made a declaration of emergency or the Commissioner of the Department of Health and Environmental Control has declared an imminent health hazard condition.

(5) Monitor loan repayment, available funds, and bonds and obligations issued in connection with the programs established hereunder, and report annually to the Governor, the Joint Bond Review Committee and the General Assembly on the activities and financial status of the Infrastructure Fund during the preceding year and on the need for fund recapitalization.

(6) Establish such general funds, reserve funds, and other accounts, either as subaccounts or as separate accounts in the custody of the Treasurer of the State or of such trustee or depository as the board and the State Treasurer in their discretion determine advisable.

(7) Arrange for yearly audit of the financial activities and accounts in connection with the Fund in cooperation with the State Auditor's Office.

SECTION 5. The Board must implement the programs of this act as soon as practicable. The Board must exercise care in the performance of its duties and the selection of specific infrastructure projects to receive its assistance.

SECTION 6. The board has the power in carrying out the purposes of this act to:

(a) adopt procedures, and regulations pursuant to Act 176 of 1977 for the implementation and operation of the programs authorized by this act;

(b) adopt and use a seal;

(c) sue and be sued in its own name;

(d) enter into and enforce the contracts, agreements, leases, and instruments and prescribe the terms and conditions thereof, and make such offers to contract with such persons, partnerships, firms, corporations, agencies, or entities, whether public or private, considered desirable in furtherance of its purposes subject to the requirements of the South Carolina Consolidated Procurement Code;

(e) acquire by purchase, donation, exchange, or otherwise, hold, improve, mortgage, pledge, or otherwise encumber, manage, lease, convey, transfer, or dispose of any real or personal property, whether tangible or intangible, including its income, revenues, funds, and monies, together with the rights and privileges as may be incidental and appurtenant thereto; any such acquisition or disposition may be pursuant to public or private sale upon the terms and conditions as the authority may set forth in accordance with prudent business practices and the South Carolina Consolidated Procurement Code and upon approval by the Budget and Control Board;

(f) receive and accept funds, grants, aid, or other contributions of value from any source, consistent with the purposes of this act, carry out the terms or provisions or make agreements with respect to such gifts or grants, and do all things necessary, useful, or desirable in connection with the procuring, accepting, or disposing of such gift or grants;

(g) borrow money and issue negotiable or nonnegotiable notes, bonds, or other obligations, including, but not limited to, lease obligations, provide for and secure their payment, provide for the rights of the holders thereof and purchase and hold, cancel, or dispose of any of its own obligations;

(h) purchase or hold securities or other obligations of a Project Sponsor at such prices and with such terms and conditions and in such a manner as the board considers advisable and sell such securities or obligations at such prices without relation to cost and in such manner as the board considers advisable;

(i) deposit monies, until used in the implementation of the programs under this act, constituting the Infrastructure Fund and invest such monies in accordance with Sections 6-5-10, 11-9-660, and 11-9-661 of the 1976 Code, and any other investment which may be lawful for public funds, and withdraw monies in the Infrastructure Fund in implementing the provisions of this act, except to the extent that the board has agreed to or is bound by restrictions in connection with the Reserve Fund, any special reserve fund created as security for any specific series of bonds or any contractual undertaking of the board;

(j) make plans, assessments, and conduct studies and hearings necessary or desirable for the implementation of its duties;

(k) determine the recipients of the board's assistance under this act;

(l) pool or combine obligations incurred by Project Sponsors to the board into a composite bond issue as a means of credit enhancement;

(m) purchase, establish separate funds or accounts for, or otherwise provide for insurance, reserve funds, guarantees, letters of credit, or other forms of credit enhancement as additional security for any bonds issued by the board or obligations incurred by Project Sponsors to finance Infrastructure Projects;

(n) do anything authorized by this act through its officers, agents, employees, and consultants, prescribing their duties and fixing their compensation;

(o) impose reasonable fees and charges for rendering services which, unless otherwise provided for under proceedings authorizing any of its bonds, may be used by it for any of its authorized purposes;

(p) cooperate with and exchange personnel with any agency or instrumentality of the United States and with any agency or political subdivision of this State in the administration of any of the programs authorized by this act in compliance with Act No. 480 of 1978;

(q) procure insurance in compliance with the South Carolina Consolidated Procurement Code against any losses in connection with its property, operations, or assets in amounts and from such insurers as it considers advisable;

(r) render advisory services to any Project Sponsor.

SECTION 7. (a) The board has the power to borrow money and to issue bonds from time to time, in its own name, in amounts it considers necessary to provide funds to carry out any of its purposes and powers under this act, including but not limited to:

(1) the purchase of obligations of Project Sponsors issued for Infrastructure Projects hereunder;

(2) the making of loans to Project Sponsors to finance Infrastructure Projects;

(3) the payment, funding, or refunding of the principal of, or interest, or redemption premium on bonds issued hereunder whether the bonds or interest to be funded or refunded have or have not become due; and

(4) the establishment or increase of reserves to secure or to pay bonds or interest on bonds and all other costs or expenses of the board incident to and necessary or convenient to carry out its corporate purposes and powers.

The board may not, without prior notice to and opportunity for comment by the Joint Bond Review Committee, issue bonds which would cause the total amount of bonds outstanding under this act at any one time, except bonds issued to refund bonds, to exceed one hundred fifty million dollars.

(b) The bonds authorized by this act are limited obligations of the board, the principal of and interest on which are payable solely out of the Infrastructure Fund and which are subject to possible contractual obligations with holders of a particular series of bonds pledging particular revenues or funds which constitute part of the Infrastructure Fund. Neither the full faith and credit of the State nor the taxing power of the State are considered to be pledged by the board with respect to bonds issued hereunder which fact must be stated on the face of each bond. The bonds issued hereunder do not constitute an indebtedness of the State within the meaning of any state constitutional provision or statutory limitation. Such bonds are an indebtedness payable solely from a revenue producing source or from a special source within the Infrastructure Fund pledged specifically therefor. The bonds do not constitute nor give rise to a pecuniary liability of the board or the State or a charge against the general credit of the board or the State or the taxing powers of the State, and this fact must be plainly stated on the face of each bond. All expenses incurred in carrying out this act are payable solely from the Infrastructure Fund, subject to possible contractual obligations with the holders of a particular series of bonds pledging particular revenues or funds which constitute part of the Infrastructure Fund, and nothing in this act authorizes the board to incur an indebtedness or liability on behalf of or payable by the State.

(c) The bonds issued hereunder may be executed and delivered at any time as a single issue or from time to time as several issues, may be in such form and denominations, may be of such tenor, may be in coupon or registered form, may be payable in such installments and at such time or times not to exceed forty years or the expected life of the project being funded, whichever is shorter, may be subject to such terms of redemption, may be payable at such place, may bear interest at such rate or rates whether fixed or variable, may be payable at such place and evidenced in such manner, and may contain such provisions not inconsistent herewith, all of which shall be provided in the resolution of the board authorizing the bonds. Any bonds issued under this section may be sold at such public or private sale as may be determined by the board to be most advantageous. The board acting jointly with the State Treasurer shall designate such trustees, paying agents, marketing, and remarketing agents, depositories syndicate manager or managers, and other agents as it considers necessary or advisable in connection with the issuance of such bonds notwithstanding that such agents are not residents in the State or are incorporated under the laws of the United States or any state other than the State. The board may pay all expenses, premiums, insurance premiums, and commissions which it considers necessary from proceeds of the bonds or program funds in connection with the sale of bonds.

(d) Upon the adoption of a resolution authorizing the issuance of bonds, the board must publish notice of the adoption for at least three consecutive publications in at least one newspaper of general circulation in the county or counties in which the Infrastructure Project or projects being financed thereby are to be located. Any action or proceeding in any court to set aside the resolution authorizing the issuance of bonds under this act or to obtain any relief upon the ground that the issuance of such bonds is invalid must be filed as an action de novo in the court or courts of common pleas in the county or counties in which the Infrastructure Project or projects to be financed with such bonds are located no later than twenty days following such publication of notice. After the expiration of this twenty day period, no right of action shall be asserted, nor shall the validity of the resolution or any of its provisions or the bonds issued pursuant thereto be open to question in any court or agency upon any grounds whatsoever except for a legal or administrative action initiated by the Attorney General.

(e) The resolution under which the bonds are authorized to be issued or any security agreement, including an indenture or trust indenture to be entered into in connection therewith, may contain any agreements and provisions customarily contained in instruments securing bonds, including, but not limited to, provisions respecting the fixing and collection of obligations, the creation and maintenance of special funds, and the rights and remedies available, in the event of default, to the bondholders or to the trustee under such security agreement as the board considers advisable. In making such agreements the board does not have the power to obligate itself except with respect to the Infrastructure Fund and cannot incur a pecuniary liability or a charge upon the general credit of the State or against the taxing powers of the State. The resolution of the board authorizing any bonds and any security agreement securing bonds shall provide that, in the event of default in payment of the principal of or the interest on such bonds or in the performance of any agreement contained in such proceedings or security agreement, the payment and performance may be enforced by mandamus or by the appointment of a receiver in equity with power to charge and collect any obligations and to apply any revenues pledged in accordance with such proceedings or the provisions of the security agreement. Any security agreement shall provide also that, in the event of default in payment or the violation of any agreement contained in the security agreement, it may be foreclosed by proceedings at law or in equity, and may provide that any trustee under the security agreement or the holder of any of the bonds secured thereby may become the purchaser at any foreclosure sale, if he is the highest bidder. No breach of any such agreement may impose any pecuniary liability upon the State or any charge upon the general credit of the State or against the taxing power of the State or against any revenues or funds of the board except those revenues or funds in the Infrastructure Fund pledged specifically therefor. Monies in the funds and accounts held by a trustee shall be invested or deposited by such trustee.

(f) Any bonds that are outstanding may at any time be refunded by the board by the issuance of its refunding bonds in such amount as the board considers necessary but not to exceed an amount sufficient to refund the principal of the bonds to be refunded, together with any unpaid interest thereon and any premiums, expenses, and commissions necessary to be paid. The refunding may be effected whether the bonds to be refunded have matured or shall thereafter mature, either by sale of the refunding bonds and the application of the proceeds for the payment of the bonds to be refunded, or by exchange of the refunding bonds for the bonds to be refunded. The holders of any bonds to be refunded cannot be compelled to surrender their bonds for payment or exchange prior to the date on which they are payable or, if they may be called for redemption, prior to the date on which they are by their terms subject to redemption. All refunding bonds issued under this section are payable in the same manner and under the same terms and conditions as are provided for the issuance of bonds.

(g) The proceeds from the sale of any bonds shall be credited to any general or reserve account established by the board as part of the Infrastructure Fund until applied for the purpose for which the bonds were issued. Any premium and accrued interest received in any such sale must be applied to the payment of the principal of or the interest on the bonds sold. If for any reason any portion of the proceeds of a bond sale is not needed for the purpose for which the bonds were issued, the unneeded portion of the proceeds must be applied to the payment of the principal of or the interest on the bonds.
SECTION 8. It is lawful for executors, administrators, guardians, committees, and other fiduciaries to invest any monies in their hands in bonds issued pursuant to this act. Nothing contained in this section is construed as relieving any person from the duty of exercising reasonable care in selecting securities.
SECTION 9. The bonds and the income therefrom are exempt from all taxation in the State except for inheritance, estate, or transfer taxes. All documents issued in connection with this act are exempt from stamp taxes.
SECTION 10. The board may dispose of any property acquired by it at public sale for fair market value. If the board does not advertise the sale of property or take bids thereon at a public sale, then the reasons for such action must be set forth in writing and be made available for public inspection. In evaluating the consideration it receives for any property or the use thereof, the board may consider nonpecuniary benefits and benefits to the citizens of the State.
SECTION 11. (a) The board may establish and maintain a reserve fund for one or more issues of bonds or for obligations incurred by Project Sponsors to finance Infrastructure Projects, to which there may be deposited or transferred:

(1) Any monies appropriated by the General Assembly for the purpose of such reserve fund;

(2) Any proceeds of bonds required to be deposited in such reserve fund by terms of a contract between the board and its bondholders or a resolution of the board with respect to the proceeds of such bonds;

(3) Any other money or funds of the board that it decides to deposit in the fund.

(b) Subject to paragraph (c) of this section, money in any reserve fund shall be held and applied solely to the payment of the interest on and principal of bonds for which such fund is pledged as the interest and principal became due and payable or, if no other monies of a Project Sponsor are available therefore, to prevent a default by payment of the principal of and interest on the obligations of such Project Sponsor incurred to finance an Infrastructure Project for which such reserve fund has been pledged. Money may not be withdrawn if a withdrawal would reduce the amount in the reserve fund to an amount less than the required debt service reserve, except for payment of interest then due and payable on such bonds or obligations and the principal of such bonds or obligations then maturing and payable, whether by reason of maturity or mandatory redemption for which payments other money of the board or Project Sponsor, as the case may be, is not then available. As used in this paragraph "required debt service reserve" means, as of the date of computation, the amount required to be on deposit in the reserve fund as provided by resolution or trust agreement of the board. The required debt service reserve shall be an aggregate amount equal to at least the largest amount of money required by the terms of all contracts between the Authority and its bondholders to be raised in the then current or any succeeding calendar year for the payment of interest on and maturing principal of outstanding bonds, and sinking fund payments required by the terms of any such contracts to sinking funds established for the payment or redemption of such bonds.

(c) Money in any reserve fund in excess of the required debt service reserve as defined in paragraph (b) of this section, whether by reason of investment or otherwise, may be withdrawn at any time by the board and transferred to another fund or account of the board established hereunder or to the general fund of the State, subject to the provisions of any agreement with the holders of the bonds or obligations for which such reserve fund is pledged.

(d) Money in any reserve fund may be invested in investments authorized by this act.

(e) For purposes of valuation, investments in any reserve fund shall be valued at par, or if purchased at less than par, at cost unless otherwise provided by resolution of the board. Valuation on a particular date shall include the amount of interest then earned or accrued to that date on the money or investments in such reserve fund.

(f) In order to assure the maintenance of the required debt service reserve in the reserve funds, the General Assembly may annually appropriate to the board for deposit in one or more of the funds the sum, certified by the chairman of the board to the General Assembly, that is necessary to restore one or more of the funds to an amount equal to the required debt service reserve. The chairman annually, before December 1, shall make and deliver to the General Assembly his certificate stating the sum required to restore the funds to that amount. Nothing in this subsection creates a debt or liability of the State to make any appropriation.

(g) Subject to the provisions of any agreement with its boundaries, the board may combine the reserve fund established for each issue of bonds into one or more reserve funds.
SECTION 12. (a) Every Project Sponsor is authorized and empowered to contract with the board with respect to any loan or purchase of its obligations pursuant hereto, and the contracts in connection therewith may be in any form agreed to by the board and the Project Sponsor, including a customary form of bond ordinance or resolution. The term of such loan or the obligations so purchased may not exceed the earlier of forty years or the term of any bonds issued by the board to purchase such obligations or fund such loan. Such obligations may be in the form of bonds, notes, lease obligations, or any other evidence of indebtedness. Such obligations may, at the option of the Project Sponsor and the board, consist of general obligation or revenue debt and may bear interest at a fixed or variable rate. Every Project Sponsor is authorized and empowered to pay fees and charges required to be paid to the board for its services. Notwithstanding any statute applicable to or constituting any limitation on the sale of bonds, any Project Sponsor may sell its obligations to the board, without limitation as to denomination, at a private sale at such price or prices as may be determined by the board and the Project Sponsor. Nothing in this act shall be construed as to authorize a Project Sponsor to exceed any bond issue or debt limitations imposed by charter or municipal, county or state governing bodies.

(b) Upon the execution and delivery by a Project Sponsor of any contract or obligations to the board, the Project Sponsor shall be considered to have agreed that in the event of its failure to pay interest or principal on such obligations owned or held by the board when payable, all statutory defenses to nonpayment are waived. The board may thereupon avail itself of all remedies, rights, and provisions of law applicable in the circumstances, and the failure to exercise or exert any rights or remedies within a time or period provided by law may not be raised as a defense by the Project Sponsor. The board shall carry out this section and exercise all the rights, remedies, and provisions of law provided or referred to in this section.

(c) Notwithstanding any other provision of law, to the extent that any department or agency of the State, including the Treasurer of the State, is the custodian of money payable to the Project Sponsor (other than for goods or services provided by the Project Sponsor), at any time after written notice to the department or agency head from the board that the Project Sponsor is in default on the payment of principal or interest on the obligations of the Project Sponsor than held, owned, or guaranteed by the board, the department or agency shall withhold the payment of that money from that Project Sponsor and pay over the money to the board for the purposes of paying principal of and interest on such obligations. Any withholding of payment by the State Treasurer of custodial funds payable to the Project Sponsor must be authorized by action of the General Assembly.

(d) As a condition of all loan approvals to Project Sponsors, the board shall, through regulations and by contract, require accountability of the Project Sponsors. At a minimum, Project Sponsors shall be required to: (i) adhere to generally accepted accounting and audit standards as well as generally accepted managerial and administrative procedures; (ii) identify intended sources of revenue which may consist of charges, fees, or taxes for the services and benefits provided to the residents of the serviced area or the users of the Infrastructure Project sufficient to meet all debt obligations as well as all operational costs of the project facility, including, if the board deems necessary, a separate reserve account to provide for debt service or maintenance and replacement of the Infrastructure Project; (iii) perform annual audits relative to the debt obligation to the board; and (iv) publicly advertise and competitively bid all aspects of the construction project.

SECTION 13. The board has the power to enter into service agreement contracts with established public or private financial institutions for the purpose of day-to-day credit management and loan servicing and limit the liabilities of these institutions in regard to these service agreements. Upon approval of a loan to a Project Sponsor, a loan administrator may be appointed on an individual project basis, or for groups of projects, and may be selected from all banks, trust companies, and financial institutions licensed as provided by law, and may be given the right to enforce payment of all debt obligations and any covenants relating to the obligations. The board may vest in the loan administrator the right, in the event of a default, to institute receivership authority as authorized by law.

SECTION 14. The program established by the provisions of this act will be administered by the Jobs-Economic Development Authority in the manner provided by law.

SECTION 15. Neither this act nor anything herein contained is construed as a restriction or limitation upon any powers which the board might otherwise have under any laws of this State, but is construed as cumulative.

SECTION 16. The board shall implement its programs in accordance with regulations promulgated under the provisions of Act 176 of 1977.

SECTION 17. The provisions of this act are hereby declared to be severable and if any part or portion of this act is held to be unconstitutional, the remaining parts or portions shall remain in full force and effect.

SECTION 18. This act shall take effect upon approval by the Governor./

Amend title to conform.

Reps. McLELLAN and TOAL explained the amendment.

LEAVE OF ABSENCE

The SPEAKER Pro Tempore granted Rep. RIGDON a leave of absence for the remainder of the day.

Rep. TOAL continued speaking.

Rep. LEWIS asked unanimous consent that the time of the speaker be extended five minutes, which was agreed to.

Rep. TOAL continued speaking.

Reps. LEWIS AND J. ROGERS explained the amendment.

Reps. SHEHEEN and RAWL spoke upon the amendment.

Rep. LEWIS spoke in favor of the amendment.

The question then recurred to the adoption of the amendment.

Rep. LEWIS demanded the yeas and nays, which were taken resulting as follows:

Amend the bill, as and if amended, by striking all after the enacting words and inserting:
/SECTION 1. The General Assembly finds that many communities find it increasingly difficult to finance infrastructure projects because of inadequate credit, diminishment of federal funds, scarcity of capital, inadequate tax bases, and similar reasons, that the inability to finance infrastructure projects in a timely fashion hampers these communities in attracting business and industry and threatens the health and welfare of the State's inhabitants and its environment and that the result of these circumstances is a continuation of the cycle of poverty, poor health, and illiteracy. The General Assembly further finds that establishment of a South Carolina Infrastructure Fund for the purpose of assisting local governments and other specified project sponsors in the financing of infrastructure projects will promote the general well-being of the public, and protect the environment. The Infrastructure Fund may be used to provide financial assistance to project sponsors for infrastructure projects in the form of low-interest loans, credit enhancement, and the other forms of assistance specified herein. Project Sponsors are authorized to contract with private entities to provide water and sewer services. The Infrastructure Fund may be capitalized from time to time through issuance of bonds, loan repayment by local governments, and the receipt of other funds. The General Assembly does not intend that the Infrastructure Fund be utilized as a means to finance project sponsors beyond their capability to meet repayment schedules and debt service requirements of bonds or notes.

SECTION 2. As used in this act:

(a) "Board" means the State Budget and Control Board.

(b) "Infrastructure" means: (i) a facility developed for the purpose of water storage and supply; (ii) a sewer system or treatment facility; or (iii) any enlargement or improvement of any of the projects described in this item.

(c) "Project sponsor" means any county, municipality, or any combination of counties and municipalities.

(d) "Priority Assessment" means the periodic assessment by the board of the chronological order in which the Infrastructure Projects are to be financed in the whole or in part pursuant to the provisions of this act, as determined in accordance with the provisions of this act.

(e) "State" means the State of South Carolina.
SECTION 3. The South Carolina Infrastructure Fund is hereby created to which must be deposited all monies received by the Board for the implementation of the programs authorized under this act including but not limited to the proceeds of any bonds issued by the Board hereunder or any grants by any agency of the United States or any other person.

The Board shall set policy for the administration of the Fund and approve the use of all monies derived under this act. For this purpose, the Board shall:

(1) Establish the criteria for determining an annual Priority Assessment of the Infrastructure Projects considering inter alia, the following factors: (i) the financial soundness of the Infrastructure project as determined in writing before any money is lent to or bonds purchased from the project sponsor; (ii) the public health and welfare requirements within the jurisdiction of the Project Sponsor; (iii) the creditworthiness of the Project Sponsor, and the measures taken by the Project Sponsor to ensure reasonable project costs; and (iv) the availability or lack thereof of other funds to finance the Infrastructure Project;

(2) Develop annually a priority assessment;

(3) Receive applications from Project Sponsors for loans and other assistance as provided for herein and determine the comparative need for the loan or other assistance;

(4) Based upon available funds and based upon the Priority Assessment, enter into loan agreements with Project Sponsors and determine the recipients of other forms of aid as provided in this act. The board shall not deviate from the Priority Assessment except for emergency projects as described below. An emergency project is an Infrastructure Project which involves a situation which endangers or has a clear potential to endanger public health and welfare where the Governor has made a declaration of emergency or the Commissioner of the Department of Health and Environmental Control has declared an imminent health hazard condition.

(5) Monitor loan repayment, available funds, and bonds and obligations issued in connection with the programs established hereunder, and report annually to the Governor, the Joint Bond Review Committee and the General Assembly on the activities and financial status of the Infrastructure Fund during the preceding year and on the need for fund recapitalization.

(6) Establish such general funds, reserve funds, and other accounts, either as subaccounts or as separate accounts in the custody of the Treasurer of the State or of such trustee or depository as the board and the State Treasurer in their discretion determine advisable.

(7) Arrange for yearly audit of the financial activities and accounts in connection with the Fund in cooperation with the State Auditor's Office.

SECTION 5. The Board must implement the programs of this act as soon as practicable. The Board must exercise care in the performance of its duties and the selection of specific infrastructure projects to receive its assistance. The Board may delegate its authority to implement the programs authorized to its Division of Local Government. The Board must retain ultimate responsibility and provide proper oversight for the implementation.

SECTION 6. The board has the power in carrying out the purposes of this act to:

(a) adopt procedures, and regulations pursuant to Act 176 of 1977 for the implementation and operation of the programs authorized by this act;

(b) adopt and use a seal;

(c) sue and be sued in its own name;

(d) enter into and enforce the contracts, agreements, leases, and instruments and prescribe the terms and conditions thereof, and make such offers to contract with such persons, partnerships, firms, corporations, agencies, or entities, whether public or private, considered desirable in furtherance of its purposes subject to the requirements of the South Carolina Consolidated Procurement Code;

(e) acquire by purchase, donation, exchange, or otherwise, hold, improve, mortgage, pledge, or otherwise encumber, manage, lease, convey, transfer, or dispose of any real or personal property, whether tangible or intangible, including its income, revenues, funds, and monies, together with the rights and privileges as may be incidental and appurtenant thereto; any such acquisition or disposition may be pursuant to public or private sale upon the terms and conditions as the authority may set forth in accordance with prudent business practices and the South Carolina Consolidated Procurement Code;

(f) receive and accept funds, grants, aid, or other contributions of value from any source, consistent with the purposes of this act, carry out the terms or provisions or make agreements with respect to such gifts or grants, and do all things necessary, useful, or desirable in connection with the procuring, accepting, or disposing of such gift or grants;

(g) borrow money and issue negotiable or nonnegotiable notes, bonds, or other obligations, including, but not limited to, lease obligations, provide for and secure their payment, provide for the rights of the holders thereof and purchase and hold, cancel, or dispose of any of its own obligations;

(h) purchase or hold securities or other obligations of a Project Sponsor at such prices and with such terms and conditions and in such a manner as the board considers advisable and sell such securities or obligations at such prices without relation to cost and in such manner as the board considers advisable;

(i) deposit monies, until used in the implementation of the programs under this act, constituting the Infrastructure Fund and invest such monies in accordance with Sections 6-5-10, 11-9-660, and 11-9-661 of the 1976 Code, and any other investment which may be lawful for public funds, and withdraw monies in the Infrastructure Fund in implementing the provisions of this act, except to the extent that the board has agreed to or is bound by restrictions in connection with the Reserve Fund, any special reserve fund created as security for any specific series of bonds or any contractual undertaking of the board;

(j) make plans, assessments, and conduct studies and hearings necessary or desirable for the implementation of its duties;

(k) determine the recipients of the board's assistance under this act;

(l) pool or combine obligations incurred by Project Sponsors to the board into a composite bond issue as a means of credit enhancement;

(m) purchase, establish separate funds or accounts for, or otherwise provide for insurance, reserve funds, guarantees, letters of credit, or other forms of credit enhancement as additional security for any bonds issued by the board or obligations incurred by Project Sponsors to finance Infrastructure Projects;

(n) do anything authorized by this act through its officers, agents, employees, and consultants, prescribing their duties and fixing their compensation;

(o) impose reasonable fees and charges for rendering services which, unless otherwise provided for under proceedings authorizing any of its bonds, may be used by it for any of its authorized purposes;

(p) cooperate with and exchange personnel with any agency or instrumentality of the United States and with any agency or political subdivision of this State in the administration of any of the programs authorized by this act in compliance with Act No. 480 of 1978;

(q) procure insurance in compliance with the South Carolina Consolidated Procurement Code against any losses in connection with its property, operations, or assets in amounts and from such insurers as it considers advisable;

(r) render advisory services to any Project Sponsor.
SECTION 7. (a) The board has the power to borrow money and to issue bonds from time to time, in its own name, in amounts it considers necessary to provide funds to carry out any of its purposes and powers under this act, including but not limited to:

(1) the purchase of obligations of Project Sponsors issued for Infrastructure Projects hereunder;

(2) the making of loans to Project Sponsors to finance Infrastructure Projects;

(3) the payment, funding, or refunding of the principal of, or interest, or redemption premium on bonds issued hereunder whether the bonds or interest to be funded or refunded have or have not become due; and

(4) the establishment or increase of reserves to secure or to pay bonds or interest on bonds and all other costs or expenses of the board incident to and necessary or convenient to carry out its corporate purposes and powers.

The board may not, without prior notice to and opportunity for comment by the Joint Bond Review Committee, issue bonds which would cause the total amount of bonds outstanding under this act at any one time, except bonds issued to refund bonds, to exceed one hundred fifty million dollars.

(b) The bonds authorized by this act are limited obligations of the board, the principal of and interest on which are payable solely out of the Infrastructure Fund and which are subject to possible contractual obligations with holders of a particular series of bonds pledging particular revenues or funds which constitute part of the Infrastructure Fund. Neither the full faith and credit of the State nor the taxing power of the State are considered to be pledged by the board with respect to bonds issued hereunder which fact must be stated on the face of each bond. The bonds issued hereunder do not constitute an indebtedness of the State within the meaning of any state constitutional provision or statutory limitation. Such bonds are an indebtedness payable solely from a revenue producing source or from a special source within the Infrastructure Fund pledged specifically therefor. The bonds do not constitute nor give rise to a pecuniary liability of the board or the State or a charge against the general credit of the board or the State or the taxing powers of the State, and this fact must be plainly stated on the face of each bond. All expenses incurred in carrying out this act are payable solely from the Infrastructure Fund, subject to possible contractual obligations with the holders of a particular series of bonds pledging particular revenues or funds which constitute part of the Infrastructure Fund, and nothing in this act authorizes the board to incur an indebtedness or liability on behalf of or payable by the State.

(c) The bonds issued hereunder may be executed and delivered at any time as a single issue or from time to time as several issues, may be in such form and denominations, may be of such tenor, may be in coupon or registered form, may be payable in such installments and at such time or times not to exceed forty years or the expected life of the project being funded, whichever is shorter, may be subject to such terms of redemption, may be payable at such place, may bear interest at such rate or rates whether fixed or variable, may be payable at such place and evidenced in such manner, and may contain such provisions not inconsistent herewith, all of which shall be provided in the resolution of the board authorizing the bonds. Any bonds issued under this section may be sold at such public or private sale as may be determined by the board to be most advantageous. The board acting jointly with the State Treasurer shall designate such trustees, paying agents, marketing, and remarketing agents, depositories syndicate manager or managers, and other agents as it considers necessary or advisable in connection with the issuance of such bonds notwithstanding that such agents are not residents in the State or are incorporated under the laws of the United States or any state other than the State. The board may pay all expenses, premiums, insurance premiums, and commissions which it considers necessary from proceeds of the bonds or program funds in connection with the sale of bonds.

(d) Upon the adoption of a resolution authorizing the issuance of bonds, the board must publish notice of the adoption for at least three consecutive publications in at least one newspaper of general circulation in the county or counties in which the Infrastructure Project or projects being financed thereby are to be located. Any action or proceeding in any court to set aside the resolution authorizing the issuance of bonds under this act or to obtain any relief upon the ground that the issuance of such bonds is invalid must be filed as an action de novo in the court or courts of common pleas in the county or counties in which the Infrastructure Project or projects to be financed with such bonds are located no later than twenty days following such publication of notice. After the expiration of this twenty day period, no right of action shall be asserted, nor shall the validity of the resolution or any of its provisions or the bonds issued pursuant thereto be open to question in any court or agency upon any grounds whatsoever except for a legal or administrative action initiated by the Attorney General.

(e) The resolution under which the bonds are authorized to be issued or any security agreement, including an indenture or trust indenture to be entered into in connection therewith, may contain any agreements and provisions customarily contained in instruments securing bonds, including, but not limited to, provisions respecting the fixing and collection of obligations, the creation and maintenance of special funds, and the rights and remedies available, in the event of default, to the bondholders or to the trustee under such security agreement as the board considers advisable. In making such agreements the board does not have the power to obligate itself except with respect to the Infrastructure Fund and cannot incur a pecuniary liability or a charge upon the general credit of the State or against the taxing powers of the State. The resolution of the board authorizing any bonds and any security agreement securing bonds shall provide that, in the event of default in payment of the principal of or the interest on such bonds or in the performance of any agreement contained in such proceedings or security agreement, the payment and performance may be enforced by mandamus or by the appointment of a receiver in equity with power to charge and collect any obligations and to apply any revenues pledged in accordance with such proceedings or the provisions of the security agreement. Any security agreement shall provide also that, in the event of default in payment or the violation of any agreement contained in the security agreement, it may be foreclosed by proceedings at law or in equity, and may provide that any trustee under the security agreement or the holder of any of the bonds secured thereby may become the purchaser at any foreclosure sale, if he is the highest bidder. No breach of any such agreement may impose any pecuniary liability upon the State or any charge upon the general credit of the State or against the taxing power of the State or against any revenues or funds of the board except those revenues or funds in the Infrastructure Fund pledged specifically therefor. Monies in the funds and accounts held by a trustee shall be invested or deposited by such trustee.

(f) Any bonds that are outstanding may at any time be refunded by the board by the issuance of its refunding bonds in such amount as the board considers necessary but not to exceed an amount sufficient to refund the principal of the bonds to be refunded, together with any unpaid interest thereon and any premiums, expenses, and commissions necessary to be paid. The refunding may be effected whether the bonds to be refunded have matured or shall thereafter mature, either by sale of the refunding bonds and the application of the proceeds for the payment of the bonds to be refunded, or by exchange of the refunding bonds for the bonds to be refunded. The holders of any bonds to be refunded cannot be compelled to surrender their bonds for payment or exchange prior to the date on which they are payable or, if they may be called for redemption, prior to the date on which they are by their terms subject to redemption. All refunding bonds issued under this section are payable in the same manner and under the same terms and conditions as are provided for the issuance of bonds.

(g) The proceeds from the sale of any bonds shall be credited to any general or reserve account established by the board as part of the Infrastructure Fund until applied for the purpose for which the bonds were issued. Any premium and accrued interest received in any such sale must be applied to the payment of the principal of or the interest on the bonds sold. If for any reason any portion of the proceeds of a bond sale is not needed for the purpose for which the bonds were issued, the unneeded portion of the proceeds must be applied to the payment of the principal of or the interest on the bonds.
SECTION 8. It is lawful for executors, administrators, guardians, committees, and other fiduciaries to invest any monies in their hands in bonds issued pursuant to this act. Nothing contained in this section is construed as relieving any person from the duty of exercising reasonable care in selecting securities.
SECTION 9. The bonds and the income therefrom are exempt from all taxation in the State except for inheritance, estate, or transfer taxes. All documents issued in connection with this act are exempt from stamp taxes.
SECTION 10. The board may dispose of any property acquired by it at public sale for fair market value. If the board does not advertise the sale of property or take bids thereon at a public sale, then the reasons for such action must be set forth in writing and be made available for public inspection. In evaluating the consideration it receives for any property or the use thereof, the board may consider nonpecuniary benefits and benefits to the citizens of the State.
SECTION 11. (a) The board may establish and maintain a reserve fund for one or more issues of bonds or for obligations incurred by Project Sponsors to finance Infrastructure Projects, to which there may be deposited or transferred:

(1) Any monies appropriated by the General Assembly for the purpose of such reserve fund;

(2) Any proceeds of bonds required to be deposited in such reserve fund by terms of a contract between the board and its bondholders or a resolution of the board with respect to the proceeds of such bonds;

(3) Any other money or funds of the board that it decides to deposit in the fund.

(b) Subject to paragraph (c) of this section, money in any reserve fund shall be held and applied solely to the payment of the interest on and principal of bonds for which such fund is pledged as the interest and principal became due and payable or, if no other monies of a Project Sponsor are available therefore, to prevent a default by payment of the principal of and interest on the obligations of such Project Sponsor incurred to finance an Infrastructure Project for which such reserve fund has been pledged. Money may not be withdrawn if a withdrawal would reduce the amount in the reserve fund to an amount less than the required debt service reserve, except for payment of interest then due and payable on such bonds or obligations and the principal of such bonds or obligations then maturing and payable, whether by reason of maturity or mandatory redemption for which payments other money of the board or Project Sponsor, as the case may be, is not then available. As used in this paragraph "required debt service reserve" means, as of the date of computation, the amount required to be on deposit in the reserve fund as provided by resolution or trust agreement of the board. The required debt service reserve shall be an aggregate amount equal to at least the largest amount of money required by the terms of all contracts between the Board and its bondholders to be raised in the then current or any succeeding calendar year for the payment of interest on and maturing principal of outstanding bonds, and sinking fund payments required by the terms of any such contracts to sinking funds established for the payment or redemption of such bonds.

(c) Money in any reserve fund in excess of the required debt service reserve as defined in paragraph (b) of this section, whether by reason of investment or otherwise, may be withdrawn at any time by the board and transferred to another fund or account of the board established hereunder or to the general fund of the State, subject to the provisions of any agreement with the holders of the bonds or obligations for which such reserve fund is pledged.

(d) Money in any reserve fund may be invested in investments authorized by this act.

(e) For purposes of valuation, investments in any reserve fund shall be valued at par, or if purchased at less than par, at cost unless otherwise provided by resolution of the board. Valuation on a particular date shall include the amount of interest then earned or accrued to that date on the money or investments in such reserve fund.

(f) In order to assure the maintenance of the required debt service reserve in the reserve funds, the General Assembly may annually appropriate to the board for deposit in one or more of the funds the sum, certified by the chairman of the board to the General Assembly, that is necessary to restore one or more of the funds to an amount equal to the required debt service reserve. The chairman annually, before December 1, shall make and deliver to the General Assembly his certificate stating the sum required to restore the funds to that amount. Nothing in this subsection creates a debt or liability of the State to make any appropriation.

(g) Subject to the provisions of any agreement with its boundaries, the board may combine the reserve fund established for each issue of bonds into one or more reserve funds.
SECTION 12. (a) Every Project Sponsor is authorized and empowered to contract with the board with respect to any loan or purchase of its obligations pursuant hereto, and the contracts in connection therewith may be in any form agreed to by the board and the Project Sponsor, including a customary form of bond ordinance or resolution. The term of such loan or the obligations so purchased may not exceed the earlier of forty years or the term of any bonds issued by the board to purchase such obligations or fund such loan. Such obligations may be in the form of bonds, notes, lease obligations, or any other evidence of indebtedness. Such obligations may, at the option of the Project Sponsor and the board, consist of general obligation or revenue debt and may bear interest at a fixed or variable rate. Every Project Sponsor is authorized and empowered to pay fees and charges required to be paid to the board for its services. Notwithstanding any statute applicable to or constituting any limitation on the sale of bonds, any Project Sponsor may sell its obligations to the board, without limitation as to denomination, at a private sale at such price or prices as may be determined by the board and the Project Sponsor. Nothing in this act shall be construed as to authorize a Project Sponsor to exceed any bond issue or debt limitations imposed by charter or municipal, county or state governing bodies.

(b) Upon the execution and delivery by a Project Sponsor of any contract or obligations to the board, the Project Sponsor shall be considered to have agreed that in the event of its failure to pay interest or principal on such obligations owned or held by the board when payable, all statutory defenses to nonpayment are waived. The board may thereupon avail itself of all remedies, rights, and provisions of law applicable in the circumstances, and the failure to exercise or exert any rights or remedies within a time or period provided by law may not be raised as a defense by the Project Sponsor. The board shall carry out this section and exercise all the rights, remedies, and provisions of law provided or referred to in this section.

(c) Notwithstanding any other provision of law, to the extent that any department or agency of the State, including the Treasurer of the State, is the custodian of money payable to the Project Sponsor (other than for goods or services provided by the Project Sponsor), at any time after written notice to the department or agency head from the board that the Project Sponsor is in default on the payment of principal or interest on the obligations of the Project Sponsor than held, owned, or guaranteed by the board, the department or agency shall withhold the payment of that money from that Project Sponsor and pay over the money to the board for the purposes of paying principal of and interest on such obligations. Any withholding of payment by the State Treasurer of custodial funds payable to the Project Sponsor must be authorized by action of the General Assembly.

(d) As a condition of all loan approvals to Project Sponsors, the board shall, through regulations and by contract, require accountability of the Project Sponsors. At a minimum, Project Sponsors shall be required to: (i) adhere to generally accepted accounting and audit standards as well as generally accepted managerial and administrative procedures; (ii) identify intended sources of revenue which may consist of charges, fees, or taxes for the services and benefits provided to the residents of the serviced area or the users of the Infrastructure Project sufficient to meet all debt obligations as well as all operational costs of the project facility, including, if the board deems necessary, a separate reserve account to provide for debt service or maintenance and replacement of the Infrastructure Project; (iii) perform annual audits relative to the debt obligation to the board; and (iv) publicly advertise and competitively bid all aspects of the construction project.

SECTION 13. The board has the power to enter into service agreement contracts with established public or private financial institutions for the purpose of day-to-day credit management and loan servicing and limit the liabilities of these institutions in regard to these service agreements. Upon approval of a loan to a Project Sponsor, a loan administrator may be appointed on an individual project basis, or for groups of projects, and may be selected from all banks, trust companies, and financial institutions licensed as provided by law, and may be given the right to enforce payment of all debt obligations and any covenants relating to the obligations. The board may vest in the loan administrator the right, in the event of a default, to institute receivership authority as authorized by law.

SECTION 14. Neither this act nor anything herein contained is construed as a restriction or limitation upon any powers which the board might otherwise have under any laws of this State, but is construed as cumulative.

SECTION 15. The board shall implement its programs in accordance with regulations promulgated under the provisions of Act 176 of 1977.

SECTION 16. The provisions of this act are hereby declared to be severable and if any part or portion of this act is held to be unconstitutional, the remaining parts or portions shall remain in full force and effect.

SECTION 17. This act shall take effect upon approval by the Governor./

Amend title to conform.

Rep. McABEE explained the amendment.

Rep. TOAL spoke against the amendment.

Rep. J. ROGERS moved to table the amendment.

Rep. McABEE demanded the yeas and nays, which were taken resulting as follows:

Further proceedings were interrupted by adjournment, the pending question being consideration of Amendment No. 9, Rep. L. MARTIN having been recognized.

RETURNED WITH CONCURRENCE

The Senate returned to the House with concurrence the following:

H. 3576 -- Rep. McKay: A CONCURRENT RESOLUTION TO EXPRESS THE CONDOLENCES OF THE MEMBERS OF THE GENERAL ASSEMBLY TO THE FAMILY AND FRIENDS OF MR. T. CARROL PLAYER, OF FLORENCE COUNTY, WHO DIED ON FEBRUARY 16, 1986.

H. 3592 -- Reps. Cleveland, McLellan, L. Martin and Neilson: A CONCURRENT RESOLUTION TO CONGRATULATE SHERRY ANNETTE THRIFT, OF OCONEE COUNTY, ON BEING SELECTED MISS SOUTH CAROLINA AND FIRST RUNNERUP IN THE MISS AMERICA PAGEANT.

H. 3593 -- Rep. Harvin: A CONCURRENT RESOLUTION TO RECOGNIZE AND COMMEND MR. CHARLES P. BALLENGER, JR., FOR HIS DEDICATED PUBLIC SERVICE AND FOR HIS PROMOTION OF THE HIGHWAY CONSTRUCTION INDUSTRY IN SOUTH CAROLINA.

H. 3598 -- Rep. Rhoad: A CONCURRENT RESOLUTION CONGRATULATING SHERIFF ED DARNELL OF BAMBERG COUNTY FOR BEING ELECTED PRESIDENT OF THE SOUTH CAROLINA SHERIFF'S ASSOCIATION.

ADJOURNMENT

At 4:50 P.M. the House in accordance with the motion of Rep. MANGUM adjourned to meet at 10:00 A.M. tomorrow.